Please ensure Javascript is enabled for purposes of website accessibility

Blog

Should I depreciate my aircraft?


 

Transcript:

If you’re operating your aircraft for business and otherwise taking deductions for that business use of the aircraft, it is a good idea to also take depreciation deductions. Some business aircraft owners think they’re being prudent or conservative on their tax return by only taking deductions for the operating expenses, but depreciation is what is called an allowed or allowable deduction. That is the IRS could deem that you took the depreciation, even if you didn’t recognize the benefit of it on your tax return. What does this mean? This means that at the time that you sell the aircraft, your basis in the aircraft would be reduced and you may be required to pay taxes on the depreciation that you never took because it would have been available to you as a deduction on the return. So, generally, if you’re operating and deducting a business aircraft, depreciation should be on the list of those expenses that you’re taking on the return.

Advocate Covers:

Our Results

Service Agreements

Small Piston Comprehensive Service Agreement

For Piston Aircraft with a gross takeoff weight of less than 6,000 lbs and costing less than $500,000 – $3,000 per year

Large Piston Comprehensive Service Agreement

For Piston Aircraft with a gross takeoff weight of more than 6,000 lbs or costing more than $500,000 – $5,000 per year

Small Turboprop Comprehensive Service Agreement

For Turboprop Aircraft with a gross takeoff weight of less than 12,500 lbs, and not subject to “truth in leasing” – $7,500 per year

Our Team

Meet the Attorneys

Jonathan Levy

Shareholder

Suzanne Meiners-Levy

Shareholder

Joseph Quackenbush

Managing Attorney

Letisha Bivins

Managing Attorney

Do you love aircraft? Work with our team of professionals!

Contact Us

Get in Touch
With Us

Get in Touch