Benefits of Retaining The Service of A CPA For Aircraft Tax Planning

If you own any type of aircraft for business or trading, then it is essential to retain the service of an experienced CPA for aircraft tax planning. The proactive tax planning is essential for all types of business in order to lessen their tax liability. However, it is not possible for any CPA to handle the issues related to aviation tax or aviation accounting since it requires detailed knowledge regarding the rules and regulations of the federal, state and local agencies.

The owners or operators of business aircraft have to be compliant with the guidelines of FAA (Federal Aviation Administration) in order to avoid having their license suspended or revoked. It is equally important for the owners/operators of business aircraft to follow the guidelines of IRS (Internal Revenue Service) with regards to the accounting, tax planning and bookkeeping. These businesses also need to follow the guidelines of SEC (Securities and Exchange Commission) and DOT (Department of Transportation). It is difficult for the owner/operator of the business aircraft to be mindful about the guidelines of different agencies. However, the violation of these guidelines may result in penalty or cancellation or suspension of the license. Therefore, it is important to retain the service of an aviation attorney to ensure compliance to the guidelines of FAA, SEC and DOT. It is equally important to retain the service of a CPA who specializes in aviation accounting and aircraft tax planning.

A CPA may work with a tax attorney during auditing or to resolve the legal issues related to accounting. A CPA (certified public accountant) and an attorney, who handle the legal matters related to aviation tax, both stay updated about the changes and modifications in federal tax and state tax of the aviation industry. However, it is prudent to retain the service of a CPA for accounting, bookkeeping and aircraft tax planning since they are trained for these tasks.

They know how to help their clients save money on taxes through proactive aircraft tax planning. A CPA does not just ensure that their clients are compliant with the aviation tax regulations. They also help their clients reach their financial goals through proactive tax planning.

The changes in legislation, economy and technology make it difficult for an individual, who knows nothing about aviation tax or accounting, to proceed towards the financial opportunities. An aviation CPA can help their clients in maximizing their income through effective strategies of proactive aircraft tax planning. It is possible to maximize the profit of a business without violating the law if a CPA has structured their financial situation. It is also possible to reduce the tax liability. An experienced CPA knows how to consider the effects of all provisions of the tax code during tax planning. They can find the most beneficial way to structure their clients’ financial situation based upon unique condition of each business. For more information visit here: Advocate Consulting Legal Group, PLLC.