Atlantic Jet Partners
Untangling the 100% Depreciation Drama: Not Just for the Super-Rich
Think 100% bonus depreciation only benefits the wealthy? In reality, it fuels the aviation industry, drives jet sales, and supports thousands of American jobs.
- Pompano Beach, FL
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Last Friday our Social Media coordinator at Atlantic Jet Partners shared a post about the reinstatement of 100% bonus depreciation—and it took off. One platform alone saw over 4,000 views and a wave of feedback. But amid the engagement were a few sarcastic zingers like, “Great, I’ll use that right after I buy my private island.”
The sentiment? This tax benefit only helps the top 1%.
That couldn’t be further from the truth.
Let’s break it down. Not only is 100% depreciation accessible to more than just billionaires, but it also fuels American manufacturing and part 145 MRO (Maintenance, Repair, and Operations) facilities, creates jobs, and opens the door to ownership models like fractional ownership—where you don’t need to own an entire jet to fly like you do.
What Is the One Big Beautiful Bill and How Does It Impact Aviation?
The recently passed legislation—often referred to as the “One Big Beautiful Bill”—reinstates 100% bonus depreciation through 2025, offering a powerful incentive for businesses and individuals to invest in aviation.
Under this bill, eligible buyers can deduct the entire cost of a business aircraft in the first year it’s placed in service. But it doesn’t stop at whole aircraft purchases.
In our previous article we explained how the same 100% bonus depreciation applies to engine upgrades, avionics retrofits, and even STC-certified modifications—as long as they meet IRS criteria and are tied to qualified business use.
This sweeping tax advantage not only makes jet ownership more accessible, but also encourages modernization across the fleet, helping fuel demand throughout the aviation industry.
What is Fractional Aircraft Ownership?
Fractional aircraft ownership is a smart, scalable option for those who don’t need a full-time private jet but still want the benefits of one.
Instead of purchasing an entire aircraft, buyers purchase a share (typically 1/16th to 1/2) of a jet, which entitles them to a set number of flight hours per year.
These shares are managed by providers who handle everything from maintenance to crew scheduling and FAA compliance.
Well-known providers and companies like Sky Flight Air offer fractional ownership programs on jets like the Hawker 1000, and King Air B100.
Buyers get the benefits of ownership—privacy, flexibility, and cost-efficiency—without the burden of full-time operation or capital outlay.
How Does Fractional Ownership Work with 100% Depreciation?
Here’s where it gets interesting: Fractional jet shares also qualify for 100% bonus depreciation under IRS guidelines, provided they meet standard business-use requirements.
- The full share (or partial share) of the aircraft can be depreciated in the first year of use.
- This applies whether you’re flying for executive travel, business expansion, or regional operational support.
- Tax-savvy companies use this model to reduce taxable income in the year of purchase while gaining reliable access to a jet that meets their needs.
As long as the jet is new to you (even if it’s pre-owned), used 50% or more for business, and placed into service in the same tax year, you can claim the entire depreciation in year one.
A Realistic Entry Point into Private Aviation
Fractional ownership brings jet access into a more attainable price range by sharing the cost of the aircraft, maintenance, crew, and other various costs. And even though the aircraft is shared, the flights are still private.
This model is particularly valuable for entrepreneurs, regional business leaders, and companies with travel needs over 50 hours per year.
They avoid the headaches of whole-aircraft ownership while retaining flexibility and tax benefits.
And yes—100% depreciation still applies as long as used 50% or more for business, offering a huge incentive to invest.
Affordable Aviation: Not Just Gulfstreams and Billionaire Toys
Entry-level jets cost far less than imagined. You don’t need $50 million to get into business aviation.
Light and very light jets—think used Cirrus Vision Jets, Eclipse 500s, Beechjet 400a, Cessna Citation, or single‑pilot turbofan aircraft—can be found in the $600k–2 million range.
These are ideal for regional hops with minimal crew for business and personal travel.
Midsize jets begin a bit higher, but the used market delivers far lower price points. A $1.5-4 million budget gets you into midsize models offering solid range and comfort like this Hawker 1000a for sale.
Thus, a business or investor looking to buy a jet for under $2 million is very much in play—and eligible for bonus depreciation under the new legislation.
Real Economic Impact: More Than Just Wealthy Buyers
According to NBAA (National Business Aviation Association), the U.S. general and business aviation industry supports over 1.2 million jobs, contributing between $150–247 billion in annual economic output depending on the report.
A recent Senate committee pushed that total to 1.3 million jobs and $339 billion.
These jobs span manufacturing, parts suppliers, maintenance, operations, flight crews, avionics installers, support services, and more.
That isn’t just prestige output—it’s job opportunities in towns and cities across America.
Domestic Manufacturing: Built Right Here In the U.S.
Major aviation brands with production or final assembly operations in the United States include:
- Cessna (Textron Aviation) builds Citation jets domestically, including midsize models like the Citation XLS and light jets like the CJ series.
- Gulfstream, headquartered in Georgia, continues expanding large‑cabin production and facility capacity in the U.S.
- Dassault began U.S. parts assembly and completed final assembly for Falcons, including the Falcon 6X/10X series.
- Bombardier, though Canadian‑headquartered, has strong ties to U.S. markets and often sources U.S. content in its Global and Challenger lines. The Challenger remains popular in North America.
Each jet sold under this depreciation policy contributes to more sustained production activity and keeps manufacturing jobs alive on home soil.
Why 100% Depreciation Matters
Incentivizes purchase at lower price tiers—Not just for super‑rich buyers, but also small businesses, charter operators, and fractional ownership groups.
Drives demand, leading to increased production and aftermarket activity.
Strengthens the aerospace supply chain, safeguarding thousands of manufacturing and service jobs.
Boosts U.S. exports, since aviation continues to be one of the nation’s top manufacturing-export sectors.
Whether Full Ownership or Fractional, the Opportunity Is Real
Whether you’re purchasing a full aircraft or investing in a fractional share, the reinstated 100% bonus depreciation law creates a rare and powerful opportunity.
For those ready to buy outright, now is the time to take advantage of significant first-year tax savings—while supporting American aerospace manufacturing, jobs, and innovation. At Atlantic Jet Partners, we offer a range of light and midsize jets for sale priced well below the assumptions many people have—backed by deep market expertise and real transaction history.
For those who don’t need full-time access to a jet, Sky Flight Air delivers an ideal solution through fractional ownership. With shares starting at a fraction of the cost of full ownership, and still qualifying for bonus depreciation, it’s the smartest way to access private aviation on your terms—without the operational burden.
No matter which path you choose, both options offer real economic value, strategic tax benefits, and a seat at the table of modern aviation—far beyond the “top 1%” myth.
Contact us to explore available aircraft or fractional shares and see how you can take flight—while leveraging the full potential of 2025’s bonus depreciation.
*** This article is informational only; do not take this article as tax advice; always consult your accountant to determine what options are best for you.