Latest Tax, Regulatory Changes Detailed in NBAA’s Personal Use of Business Aircraft Handbook

The National Business Aviation Association (NBAA) has released a comprehensive update to its Personal Use of Business Aircraft Handbook, which provides valuable tax and regulatory compliance strategies when a company makes an aircraft available for non-business use.

Personal use of business aircraft is a complex policy area, governed by the Internal Revenue Service (IRS), Securities and Exchange Commission (SEC) and Federal Aviation Administration (FAA).

The NBAA Personal Use of Business Aircraft Handbook – a members-only resource – summarizes these tax rules for company reporting purposes and for governing the calculation of a company’s nondeductible expenses under the entertainment disallowance. The handbook also covers tax deduction rules for sole proprietors and employee-provided flights.

View the NBAA Personal Use of Business Aircraft Handbook.

The updated handbook also includes detailed charts summarizing income inclusion and deductions, with examples for employer companies and sole proprietors, as well as new deduction-disallowance rules for commuting and business entertainment flights as stipulated by the Tax Cuts and Jobs Act of 2017.

Updates to the NBAA Personal Use of Business Aircraft Handbook will be examined at the 2022 NBAA Tax, Regulatory & Risk Management Conference, taking place Oct. 16-17 in Orlando, FL ahead of the 2022 NBAA Business Aviation Convention & Exhibition (NBAA-BACE). Learn more about NBAA-BACE.