Private Planes and Luxury Yachts Aren’t Just Toys for the Ultrawealthy. They’re Also Huge Tax Breaks.

[onthedarkside]

 

What’s the only thing better than having your own Gulfstream jet? Why, getting to claim millions in tax deductions for it. All you have to do is make a case you’re using it for business, which turns out to be surprisingly easy.

 

Flying to Ireland to inhale the seaside air as you drive a golf ball into the scenic distance, crossing the country to reach your enormous yacht, which is ready for your Hudson River pleasure cruise, hosting a governor’s wife on your very own aircraft.

 

These are only a few of the joys that the richest Americans have experienced in recent years through their private jets and what made them all the sweeter is that they came with a tax write-off.

 

https://www.propublica.org/article/private-jets-yachts-wealthy-tax-deductions-irs-files

 

[KhunLA]

You certainly don't have to be rich, to take advantage of 'business' deductions at tax time.

 

Being self employed, I wrote ogf 1000's every year.  Percentage of home expenses (office/storage/showroom), and all that goes toward that; mortgage, ins, electric, water, gas, taxes, phone, petrol.   Same with vehicle. along with dinner (business meeting) when dining out.

 

In USA, you can even be in the negative, for 5 yrs (use to be) as you develop a customer base.

 

When I was involved in a lawsuit, requiring me to show income, judge asked me if I was in jail for 6 yrs .... huh ... he pointed out I didn't claim any income to IRS for 6 yrs ... oh that time ... slow business building ????

 

Tax laws are there for everyone to use & abuse, unless of course you enjoy funding the defense contractors & the US Military being used as corporate security.  Feel free to give them 40% of your income, to kill people you don't know overseas.

 

I prefer not to contribute. 

Edited April 6, 2023 by KhunLA

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1 hour ago, KhunLA said:

You certainly don't have to be rich, to take advantage of 'business' deductions at tax time.

 

Being self employed, I wrote ogf 1000's every year.  Percentage of home expenses (office/storage/showroom), and all that goes toward that; mortgage, ins, electric, water, gas, taxes, phone, petrol.   Same with vehicle. along with dinner (business meeting) when dining out.

 

In USA, you can even be in the negative, for 5 yrs (use to be) as you develop a customer base.

 

When I was involved in a lawsuit, requiring me to show income, judge asked me if I was in jail for 6 yrs .... huh ... he pointed out I didn't claim any income to IRS for 6 yrs ... oh that time ... slow business building ????

 

Tax laws are there for everyone to use & abuse, unless of course you enjoy funding the defense contractors & the US Military being used as corporate security.  Feel free to give them 40% of your income, to kill people you don't know overseas.

 

I prefer not to contribute. 

It would certainly help to read the article before you contribute your thoughts. There are justifiable ways to get tax deductions and then there are ways crafted just to benefit the rich. for example allowing a 100% deductible for a private jet in the first of use is not financially justifiable. 

[KhunLA]

1 hour ago, placeholder said:

It would certainly help to read the article before you contribute your thoughts. There are justifiable ways to get tax deductions and then there are ways crafted just to benefit the rich. for example allowing a 100% deductible for a private jet in the first of use is not financially justifiable. 

Simply business deductions, some across the board for all, others, as noted, for those elite.

 

Although, do consider, without some of those deductions, many not buy those 'luxury items', which does provide jobs and economic stimulation.

 

Along with charitable deductions, as without those, many would not give to so many worthy causes.  Great tax deduction, as it should be, if not more.

 

Not the biggest fan of the elite, but I have hit the ' 1 % ' bracket a couple times, low-ish end of that tax bracket, so pocket money to many, ($250 yr income), and yea, taxed @ 40%.

 

With that, hate when non achievers, say the rich don't pay their fare share, as they pay way more than their fare share.  Most of the now rich, earned it all.  Still some old money families, the true puppeteers, but most others are self made ????

 

Not coming close to 'super rich' or doing anything I love or enjoy when making income.   Enjoy doing nothing, rather than making more money .... once I had enough.  Never was a 'more more more' kind of guy.

 

So to avoid the taxes, since taking all the risk, I stopped producing income ????  Shows how screwed up and skewed the tax system really is.

 

 

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3 minutes ago, KhunLA said:

Simply business deductions, some across the board for all, others, as noted, for those elite.

 

Although, do consider, without some of those deductions, many not buy those 'luxury items', which does provide jobs and economic stimulation.

 

Along with charitable deductions, as without those, many would not give to so many worthy causes.  Great tax deduction, as it should be, if not more.

 

Not the biggest fan of the elite, but I have hit the ' 1 % ' bracket a couple times, low-ish end of that tax bracket, so pocket money to many, ($250 yr income), and yea, taxed @ 40%.

 

With that, hate when non achievers, say the rich don't pay their fare share, as they pay way more than their fare share.  Most of the now rich, earned it all.  Still some old money families, the true puppeteers, but most others are self made ????

 

 

It's clear you still haven't read the article.

 

So you think that the way government should provide jobs is by encouraging the purchase of luxury goods? Because some of the taxes foregone will go to workers? Seems like a very wasteful way to do that.

 

As for charitable deductions, there's lot of dubious exploitation there.

https://www.propublica.org/article/the-irs-tried-to-crack-down-on-rich-people-using-an-abusive-tax-deduction-it-hasnt-gone-so-well

 

As for the rich paying more than their fare share of taxes...

 

The Forbes 400 Pay Lower Tax Rates Than Many Ordinary Americans

https://www.americanprogress.org/article/forbes-400-pay-lower-tax-rates-many-ordinary-americans/

 

As for most of the rich being self made:

Study Shows Only 27% of Wealthy Americans Are 'Self-Made'

https://www.fool.com/the-ascent/personal-finance/articles/study-shows-only-27-of-wealthy-americans-are-self-made/#:~:text=If you're not independently,ultra rich are self made.