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NBAA and GAMA applaud passage of expanded tax benefits for business investment

NBAA and GAMA applaud passage of expanded tax benefits for business investment

The National Business Aviation Association and The General Aviation Manufacturers Association have welcomed the latest Congressional action to give U.S. companies tax benefits to help preserve manufacturing jobs, while allowing companies immediate access to the benefits of business aircraft. The Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act of 2010 will allow businesses 100-percent accelerated, or "bonus" depreciation of investments in capital assets, including new aircraft, through December 31, 2011, retroactive from September 8, 2010. The legislation also provides for "bonus" depreciation allowance of 50 percent during 2012. "NBAA is pleased that the House of Representatives has joined with the Senate passing legislation to make available additional ways in which tax incentives can be applied to investments in strategic business assets, including new aircraft," said NBAA President and CEO Ed Bolen. "Today’s House vote brings us another step closer to preserving vital U.S. business aviation manufacturing jobs, while also providing companies immediate access to the many benefits that accrue with the use of an aircraft for business purposes." GAMA President and CEO, Pete Bunce, said "We could not be more pleased by the bipartisan effort that resulted in a swift passage of this tax bill through both chambers of Congress and now to the president. This bill will help provide the certainty and incentives our manufacturers need to start growing again by encouraging investment and creating demand. Most importantly, these provisions will boost job growth in 2011 and beyond and support a critical sector in the U.S. and global economy.” A bonus depreciation extension through the end of 2010 has already been signed into law, but this legislation gives purchasers of non-commercial an extra year to put the plane in service and qualify for expensing and bonus depreciation. The Senate passed an overall tax package that includes the proposal earlier this week.

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