Taxes

The Senate GOP Tax Bill Cuts Taxes on Private Jets

Written by SK Ashby

I was going to say this provision has been added to the Senate Republican tax cut bill for 'inexplicable' reasons, but I suppose it's not really inexplicable, is it?

Several influential Senate Republicans have made it crystal clear that they're advancing this bill to please their super-rich donors and their donors are the kind of people who own private jets.

A measure in the Tax Cuts and Jobs Act would lower taxes on some of the payments made by owners of private aircraft to management companies that help maintain, store and staff those planes for owners.

The language would exempt owners or leasers of private aircraft from paying taxes on certain costs related to the upkeep and maintenance of the jets, according to a description from the Joint Committee on Taxation.

Eliminating these taxes will apparently cost the government about $50 million.

That's not enough money to make a great deal of difference in any direction, but it will certainly please a few donors.