Page 16 - March 25

Tax Planning: Charitable Flying
by Daniel Cheung, CPA
positive contributions our industry provides to society. Whether it is responding to natural disasters,
Having been involved in the general aviation industry for over two decades, I have always recognized the
transporting veterans and ordinary folks needing medical treatments or relocating pets and wildlife –
pilots and aircraft owners, fixed base operators and numerous other stakeholders in our industry step
up to provide invaluable support.
The Internal Revenue Code offers support for aircraft
owners who fly for charitable organizations. For aircraft
owners who use their aircraft in a business, tax deduction
is available for a variety of charitable uses of the aircraft.
With tax law changes in recent years, business owners
can deduct the full costs of operating the aircraft when
the charitable flights are handled correctly.
Tax treatment for an
individual aircraft owner
The flight needs to be conducted for a qualified charity.
Numerous organizations are registered with the Internal
Revenue Service as qualified charities. Educational,
humanitarian and religious organizations generally
qualify. An inquiry with the group that you fly for can
confirm its status.
Deductible charitable flights must be directly related to
a qualified charity’s exempt purposes. Flying a patient for
medical treatment, organized by a qualified charity, will
be a tax deductible flight. Flight to a charity fundraiser
gala or flying a charity’s board member to attend a board
meeting is not considered tax deductible charitable flight.
Only direct operating expenses can be deducted – fuel
and oil. If you purchase a special insurance policy for
the charitable flight, this premium is deductible. Any
fixed costs cannot be deducted. You also cannot deduct
the value of the time that you spend on a flight.
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­ KING AIR MAGAZINE MARCH 2025