Tax advice

[sjflyer]

What kind of aviation related expenses /receipts should i start saving / or tracking for next yr tax return.

Thanks,

 

[JimNtexas]

What kind of aviation related expenses /receipts should i start saving / or tracking for next yr tax return.

Thanks,

Well, are you the CEO of a major airline? A 17 year old private pilot with a paper route? Chuck Yeager? Mike Melville? Scott O'Grady? A new Regional airline copilot (probably doesn't matter in that case, you don't make enough to report)?

How do you make money in aviation, what sort of expenses do you have? Are you self-employed, on a contract which reports your income on a Form 1099, or an employee who gets a Form W-2.

 

[Vik]

If you could answer that, you'd be richer than bill gates!

How do you make money in aviation,

 

[sjflyer]

I am brand new Regional FO. I have the normal expenses that most commuting pilots have crash pad, food, and transportation.

 

[Clyde]

Tracking expenses for taxes

I am brand new Regional FO. I have the normal expenses that most commuting pilots have crash pad, food, and transportation.

First and foremost, consult a CPA for the state that you are FILING in.

In order to write stuff off (itemize), you have to meet a minimum of deductions first. Usually it is around the $10,000 range. Most people who have a mortgage meet this relatively easy. Once you meet this, then you can itemize your deductions. On the assumption that you do meet this, here are some things you should be keeping track of for tax purposes:

Uniform purchases
Suitcases and flight kit bags
Cellphone
Internet (if you need access. i.e., view a list of who is on reserve)
Laundry Expenses
Tips
Food purchases. (this will be compared with per diem at year's end)
Publications (any magazine related to flying, including those read for leisure)
Training expenses (to include hotel expenses if paid out of pocket)

Be careful about the crash pad. If you commute into town, you may not be able to write this off. The reason is because your job is located in a particular location and you have the means to live there. i.e., your employer isn't forcing you to commute.