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LIVE MOSAIC Town Hall (Archived): www.airborne-live.net

Sat, Jun 26, 2010

NBAA Chimes In On Accelerated Depreciation Proposal

Calls Measure A "Proven Incentive For Business"

The NBAA offered praise Friday to Senate Finance Committee Chairman Max Baucus (D-MT) and Ranking Member Charles Grassley (R-IA) for introducing a proposal to extend accelerated, or "bonus" depreciation for equipment purchases in 2010 including GA  aircraft.

The existing accelerated-depreciation policy expired at the end of 2009; in April, NBAA joined with more than 80 American businesses and organizations in sending an open letter to House and Senate leaders calling for renewal of the policy.

"Bonus depreciation is a proven incentive for businesses to accelerate replacement and purchases of essential equipment, including GA aircraft," said NBAA President and CEO Ed Bolen (pictured, right). "We commend Senators Baucus and Grassley for introducing this important legislation."

The manufacture and use of business aircraft supports more than one million jobs, contributes positively to the nation's trade balance, helps companies of all sizes be more efficient, productive and competitive and provides a vital transportation link to communities across the U.S., especially those that have lost some or all airline service in recent years. Nevertheless, a continuing economic recession has weighed heavily on the industry, which over the past year has witnessed a significant drop in flight hours, decreased aircraft sales, and a raft of layoffs among aircraft manufacturers. Retaining accelerated depreciation would help incentivize the purchase of general aviation aircraft, and the jobs and other benefits that come with it.

"Introducing legislation in the Senate to renew the existing accelerated depreciation policy as part of the recovery effort would continue the virtuous cycle of stimulating a vital industry through tax incentives, bringing back more U.S. manufacturing jobs and improving our trade balance, and at the same time enabling many more American companies to continue using business aviation to succeed," Bolen said.

FMI: www.nbaa.org

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The NBAA offered praise Friday to Senate Finance Committee Chairman Max Baucus (D-MT) and Ranking Member Charles Grassley (R-IA) for introducing a proposal to extend accelerated, or "bonus" depreciation for equipment purchases in 2010 including GA&nbsp; aircraft.

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