Private Jet Industry

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Changes to bonus depreciation: Here's what taxpayers need to know
CNBC Televisionยท 2025-07-10 12:28
Tax Law Impact on Private Jet Industry - New tax law allows immediate write-off of the entire purchase price of private jets, known as bonus depreciation [1] - Bonus depreciation, originally passed in 2017, was brought back, enabling companies to write off 100% of the purchase price of capital equipment, including private jets used for business [1] - The full purchase price of a private jet can be written off on taxes in the year of purchase, retroactive to January of this year [2][3] Conditions and Implications - The jet must be used for qualified business activities, not personal use [2] - The benefit applies to both new and pre-owned planes [2] - For example, a $10 million Gulfstream purchase can deduct the entire $10 million from taxable income [3] Market Outlook - Brokers anticipate a demand spike starting in September due to the tax change [4] - The private jet industry had been slowing after peak demand [3]