Depreciating aircraft parts, dealing with taxes, etc.

Roger (K8RI) wrote:

Which is where you really have to be careful.
If you have written off the entire cost of the airplane over the
years, or specific period, then when you sell it the *entire* value
you receive is taxable which makes both expensing and writing off a
double edge sword.


Yes, but if you qualify for the 15% taxable gain you will pay less
tax in the long run than if you didn't depreciate it (which really
you don't have much of a choice not to). Even the current 25%
recapture rate is probably less than your top end bracket at 28.