Everything is now tax deductable!
- Thread starter Seggy
- Start date
mtsu_av8er
Well-Known Member
SWEET!!! Congrats!!
How does it feel?
How does it feel?
aloft
New Member
Congrats on passing your ride man, that's awesome!
Not to rain on your parade or anything, but "everything is now tax deductible" is not exactly accurate. In order to deduct any of your training, it has to benefit you in the occupation you're in NOW, and cannot train you for a different occupation. So, unless you were already gainfully employed as a pilot, you'd fail test 1, and unless you were already gainfully employed as a flight instructor, you'd fail test 2 since the IRS differentiates between "commercial pilot" and "flight instructor" as being two different occupations.
Not to rain on your parade or anything, but "everything is now tax deductible" is not exactly accurate. In order to deduct any of your training, it has to benefit you in the occupation you're in NOW, and cannot train you for a different occupation. So, unless you were already gainfully employed as a pilot, you'd fail test 1, and unless you were already gainfully employed as a flight instructor, you'd fail test 2 since the IRS differentiates between "commercial pilot" and "flight instructor" as being two different occupations.
Seggy
Well-Known Member
Sorry I couldn't elaborate more earlier. I got home around 4:30 PM, after being at the airport since 6:00 in the morning! I came home took a nap, went to the gym, and rested after a LONG day.
The oral was one hour going over my written, rules and regs. The flight test was 1.1. It went by so quickly, one manuever after another. It was pretty windy with winds gusting to 25 knots.
It feels REALLY REALLY good. I can now be considered a professional in the industry I love so dearly. I still have a LONG way to go and a TON to learn to reach my ultimate goals, but this is a big step.
The next plan of action is to finish up my CFI. I am going to be my instructors 32nd CFI signoff, thats right 32nd! Thats INITIAL CFIs, that does NOT include CFIIs or MEIs. He already has had me do a lot of right seat flying, doing the manuevers in that seat, working on lesson plans, teaching him the manuevers in during the commercial course, etc. All I need is to pass the writtens, which should be done by this Wednesday, and then polish up a few manuevers in the right seat. We are looking for my CFI ride around the 9th or 10th of May!
I can't WAIT to join the ranks of CFIs on here (and start making SOME money to fly). It seems like a fun, rewarding experience and I am so excited to bring the fun and joy I see in aviation to others!
The oral was one hour going over my written, rules and regs. The flight test was 1.1. It went by so quickly, one manuever after another. It was pretty windy with winds gusting to 25 knots.
It feels REALLY REALLY good. I can now be considered a professional in the industry I love so dearly. I still have a LONG way to go and a TON to learn to reach my ultimate goals, but this is a big step.
The next plan of action is to finish up my CFI. I am going to be my instructors 32nd CFI signoff, thats right 32nd! Thats INITIAL CFIs, that does NOT include CFIIs or MEIs. He already has had me do a lot of right seat flying, doing the manuevers in that seat, working on lesson plans, teaching him the manuevers in during the commercial course, etc. All I need is to pass the writtens, which should be done by this Wednesday, and then polish up a few manuevers in the right seat. We are looking for my CFI ride around the 9th or 10th of May!
I can't WAIT to join the ranks of CFIs on here (and start making SOME money to fly). It seems like a fun, rewarding experience and I am so excited to bring the fun and joy I see in aviation to others!
Seggy
Well-Known Member
[ QUOTE ]
Congrats on passing your ride man, that's awesome!
Not to rain on your parade or anything, but "everything is now tax deductible" is not exactly accurate. In order to deduct any of your training, it has to benefit you in the occupation you're in NOW, and cannot train you for a different occupation. So, unless you were already gainfully employed as a pilot, you'd fail test 1, and unless you were already gainfully employed as a flight instructor, you'd fail test 2 since the IRS differentiates between "commercial pilot" and "flight instructor" as being two different occupations.
[/ QUOTE ]
I am going to need to disagree with ya here. The way it was explained to me was that as a commercial pilot you are considered a 'professional' by the FAA. ANY training, books, material etc., CAN be constitued as a tax write off as it furthers my training as a 'professional'. Assuming this, today my cell phone became a tax rightoff as I need it in case I am called upon to conduct a scenic flight. If I take a flight to Marthas Vineyard with a girl I can write that off as a tax deduction as I used that flight to remain current, practice instrument work etc. Am I right in this?
Congrats on passing your ride man, that's awesome!
Not to rain on your parade or anything, but "everything is now tax deductible" is not exactly accurate. In order to deduct any of your training, it has to benefit you in the occupation you're in NOW, and cannot train you for a different occupation. So, unless you were already gainfully employed as a pilot, you'd fail test 1, and unless you were already gainfully employed as a flight instructor, you'd fail test 2 since the IRS differentiates between "commercial pilot" and "flight instructor" as being two different occupations.
[/ QUOTE ]
I am going to need to disagree with ya here. The way it was explained to me was that as a commercial pilot you are considered a 'professional' by the FAA. ANY training, books, material etc., CAN be constitued as a tax write off as it furthers my training as a 'professional'. Assuming this, today my cell phone became a tax rightoff as I need it in case I am called upon to conduct a scenic flight. If I take a flight to Marthas Vineyard with a girl I can write that off as a tax deduction as I used that flight to remain current, practice instrument work etc. Am I right in this?
kellwolf
Piece of Trash
FAA and IRS have two distinctly different definitions. You might be "professional" in the idea of the FAA, but you're not a "professional" in the eyes of the IRS until you get a job in the field you're taking these deductions on. That's the way an aviation accountant explained it to me. Now, if you're a employed CFI w/o a CFI-I or MEI, you can deduct those. Otherwise, all CFIs would be deducted the CFI-I and MEI. In the eyes of the FAA they're pros, but if they're not employed, the tax man would disagree. Now, if you were to file the paperwork and become self-employed as a commercial pilot, that would make a difference. THEN you could write off the cel-phone and the currency flights.
Bandit_Driver
Gold Member
Congrats on the rating. I am going to have to agree with Kellwolf. You need to talk to a tax person to make sure exactly what you can writeoff. There is a lot you can and there is a lot you cannot writeoff.
Good Luck on the CFI...
Good Luck on the CFI...
Minnesota_Flyer
New Member
Kellwolf, Aloft and Bandit are right, here. The IRS takes the view that commercial pilot and flight instructor are two different professions, so you can't deduct your initial CFI because it is the initial requirement for entry into a new profession.
You probably should find a good tax accountant with experience with pilots to help you out . . . a lot of the things you talk about deducting are probably not valid deductions. You would probably get in trouble, for example, for deducting a pleasure flight unless you could prove that the flight (the whole flight) was necessary to maintain your currency. Since only take-offs and landings are required for currency, the en route time would be highly questionable.
MF
You probably should find a good tax accountant with experience with pilots to help you out . . . a lot of the things you talk about deducting are probably not valid deductions. You would probably get in trouble, for example, for deducting a pleasure flight unless you could prove that the flight (the whole flight) was necessary to maintain your currency. Since only take-offs and landings are required for currency, the en route time would be highly questionable.
MF
