Please ensure Javascript is enabled for purposes of website accessibility

Blog

What are some of the tax traps I should be aware of for my business aircraft?


 

Transcript:

In setting up a business craft ownership structure and in taking deductions from business aircraft, there are a variety of traps. What we’re trying to do generally as aircraft owners and operators is make sure that we’re FAA compliant, and in becoming FAA compliant we’re very careful about separating the aircraft out of general operations, or air carriage rules. Unfortunately this works in direct contradiction with some of the national reading and some of the IRS code provisions. It’s important when you structure your business aircraft and use your business aircraft, that you’re aware of rules such as related parting leasing limitations under section 280 F, and passive activity rules that treat mental activity as different from all other business activity. Make sure that you’re aware of passive activity rules, and the related nature of the lease in order to make sure that you don’t lose deductions that should be available to you for your business aircraft.

Advocate Covers:

Our Results

Service Agreements

Piston Aircraft Comprehensive Service Agreement

For Piston Aircraft  – $5,000 per year

Small Turboprop Comprehensive Service Agreement

For a single Turboprop Aircraft costing less than $2,000,000 – $7,500 per year

Large Turboprop Comprehensive Service Agreement

For Turboprop Aircraft costing more than $2,000,000 – $10,000 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