Recently passed U.S. legislation offers an extraordinary opportunity for tax savings on aircraft used for business travel, with tax write-off opportunities of as much as $300,000 on a new DA40 XLS. To help customers benefit from this opportunity as soon as possible, Diamond distributors announced the Diamond Tax Advantage Program.
For any Diamond ordered and delivered between March 4, 2008 and April 15, 2008, Diamond distributors will also offer $3,000 in cash-back incentive, which can be used to pay for the tax and legal services needed to take advantage of this tax savings opportunity. Customers not eligible for tax savings can apply for a training or fuel credit in the same amount.
"This tax law change is a great opportunity, especially for people who can act now. By taking delivery of their new Diamond by April 15, buyers can immediately reduce their estimated tax payments for the rest of 2008 for qualifying purchases,” explained Angelo Fiataruolo, general manager of Kansas City Aviation Center, a Diamond distributor. "We encourage people to act now, and not wait until December: the sooner you take delivery of your aircraft, the quicker you get the tax benefits. The new tax opportunity is the best we have seen in a decade - we expect a high volume of tax-driven purchases this year."
The 2008 economic stimulus bill provides both 50 percent bonus depreciation on new aircraft purchases, and an expanded maximum $250,000 expensing election for taxpayers who invest less than $1,050,000 in new or used capital assets.
"Now, with this extraordinary tax treatment, we expect an even stronger demand", explains Fred Ahles, President at Premier Aircraft Sales, the largest Diamond distributor. "Last time we had tax incentives like this, we ran out of inventory long before the year was over."