I guess my question is, is there not away for info to be shared and dealt out by the server because obviously I cant trust my computer because what it shows me is not really happening ehh.
Ok. You're almost there, Flippz. That is a good question. The reason it's not done on the server is because due to the amount of time it takes to get the information from the server to your computer, one of two things would happen:
If absolutely everything was controlled by the server, there would be whatever amount of delay is between you and the server for every single thing you do in the game. Every control input would have a delay on it and any hiccup in your connection would result in your control inputs taking even longer to get to the server. This would make gunnery and flying worse in every aspect.
If things worked the way they do now, but the server was the one to decide whether there was a collision or not, it would mean you'd take damage sometimes when there was no collision on you end. You'd pass near another plane and fall from the sky with damage.
Your computer shows you exactly what happens to your plane and your plane only in a collision. What happens (or doesn't happen) on his end to his plane is calculated on his end and passed along to you from the server. Whatever you see happen to his plane on your end at the moment of collision is only an approximation.
Wiley.