To the relief of many in the aviation community, when President Barack Obama signed The American Taxpayer Relief Act of 2012 Jan. 2, he extended the 50% bonus depreciation for capital goods, including aircraft, through the end of 2013. This means that new business aircraft purchased in 2013 are eligible to qualify for 50% Bonus Depreciation.
According to officials with the National Business Aviation Association, if there is a written binding contract in place to purchase the aircraft by Dec. 31, 2013 and the aircraft qualifies as “Certain Aircraft” or “Long Production Period” as defined in the Internal Revenue Code, the aircraft can be placed in service during 2014 and still qualify for 50% Bonus Depreciation. Find out more here.