Unless otherwise noted, all events will take place in The Ritz-Carlton Ballroom, Lower Level at The Ritz-Carlton, Marina del Rey.

Thursday  |  Friday

Thursday, May 2

1:30 p.m. – 5:00 p.m.
Conference Registration
1:30 p.m. – 2:20 p.m.
Welcome, NBAA Update & Seminar Introduction

Presenters: Scott O’Brien, NBAA; Alan Burnett, Centerpoint Aviation Law PLLC

The Tax Cuts and Jobs Act of 2017 codified several changes to the tax treatment of business aircraft ownership and operations. While the Act provides for 100-percent expensing for both factory-new and pre-owned aircraft acquisitions, Tax Reform has also created new and sometimes challenging deduction limits for the industry. This seminar will provide expert review, explanation and guidance from industry leaders on key elements of the new tax landscape for business aviation.

2:20 p.m. – 3:10 p.m.
Maximizing Bonus Depreciation

Presenters: Chris Younger, GKG Law; David Shannon, Lewis Brisbois

The 2017 Tax Cuts and Jobs Act provides for 100 percent bonus depreciation, allowing taxpayers immediate deduction of the cost of factory-new and pre-owned aircraft acquired and placed in service after Sept. 27, 2017 and before Jan. 1, 2027. This presentation will cover the rules regarding the ability of a taxpayer to maximize bonus depreciation deductions, including how to qualify, and restrictions on the availability of such deductions.

3:10 p.m. – 4:00 p.m.
Limitation on Excess Business Loss for Non-corporate Taxpayers

Presenters: Alvaro Pascotto, Law Offices of Alvaro Pascotto; George Rice, Bizjetcpa, Inc.

This presentation will explore this section of the Tax Cuts and Jobs Act of 2017 which imposes a new limit on the deductibility of business losses incurred by taxpayers other than corporations. The panel will illustrate how various entities and structures of ownership and operations, which may be planned when acquiring an aircraft, will be impacted. We will also discuss the issues, the utilization of bonus depreciation and the definition of qualified business income. To the extent a limitation exists, the panelists will review the utilization of the “excess” amount as a Net Operating Loss in subsequent tax years.

4:00 p.m. – 4:25 p.m.
Afternoon Break
4:25 p.m. – 5:15 p.m.
Deduction Limitation for Business Interest Expense (§ 163(j))

Presenters: Rick Farley, PricewaterhouseCoopers LLP; Quin Dowell, PricewaterhouseCoopers LLP

The TCJA of 2017 has further complicated the deductibility of interest expense attributable to private aircraft. This session will help attendees understand the general allocation of the interest expense rule for aircraft, the history of IRC Section 163(j), it’s changes in the TCJA, proposed regulations and interim guidance. It will also review practical examples and reasonable approaches to ordering the disallowance under IRC section 274 and the suspension under 163(j).

5:15 p.m. – 6:45 p.m.
Evening Networking Reception

Location: The Gardens


Friday, May 3

8:00 a.m. – 3:00 p.m.
Conference Registration
8:15 a.m. – 9:00 a.m.
Breakfast
9:00 a.m. – 9:15 a.m.
Welcome & Day 2 Introductions

Presenters: Alan Burnett, Centerpoint Aviation Law PLLC

9:15 a.m. – 10:15 a.m.
Personal Entertainment Use of Business Aircraft: No Wall, but Plenty of Hurdles

Presenters: Joanne Barbera, Barbera and Watkins, LLC.; John Hoover, Holland & Knight LLP

This presentation will review the rules for proper treatment of personal use of business aircraft for IRS fringe benefit, personal entertainment deduction disallowance and listed property purposes. The presentation will include examples to identify issues from the 2017 Tax Cuts and Jobs Act and related guidance, availability and use of potential elections and FAA requirements and limitations.

10:15 a.m. – 11:00 a.m.
Business Entertainment & Commuting

Presenters: Ruth Wimer, Winston and Strawn LLP; Sue Folkringa, Wolcott & Associates, P.A.

Businesses owning aircraft have enjoyed tax deductions for the full expenses related to the aircraft including depreciation, fees, fuel, and crew costs with the exception of travel related to the personal entertainment of certain officers and owners. Unfortunately, the 2017 Tax Cuts and Jobs Act has now added two additional categories of flights which are also not deductible: Commuting unrelated to security concerns and Business Entertainment. This session will provide a detailed analysis of which flights are included in these new categories and a reasonable approach to arriving at the amounts subject to disallowance, including all Congressional or Treasury guidance on the topic.

11:00 a.m. – 11:30 a.m.
Morning Break
11:30 a.m. – 12:30 p.m.
Leasing Structures & Associated Risks: The Looming Issue of “Illegal Charter”

Presenters: David Norton, Shackelford, Bown, McKinley & Norton, LLP; Todd Dixon, Barnes & Thornburg LLP

Aircraft dry leasing and the various commercial exemptions found in the FARs can be very beneficial operating tools, but a lack of understanding (or even intentional disregard) of proper structuring is resulting in a major crack-down by the FAA and IRS on alleged “illegal charter” operations. This session will outline the necessary elements for dry leasing, time sharing, interchange agreements and demonstration flights. We will also examine both past and current enforcement litigation on alleged intentional or inadvertent violations of regulatory exceptions and discuss the range of resulting sanctions. Join this session to learn how to avoid inadvertent and costly violations.

12:30 p.m. – 1:45 p.m.
Lunch
1:45 p.m. – 2:30 p.m.
Tax Challenges for Non-Traditional Structures (Hobby Loss & Passive Loss Limitations)

Speaker: Jed Wolcott, Wolcott & Associates, CPA’s, P.A.

Aircraft owned in non-traditional structures such as ‘the family office’, special purpose entities, or family trusts can face additional tax planning challenges as a result of the 2017 tax reform. This session will present the issues, identify scenarios and pitfalls to be aware of, and offer potential restructuring solutions.

2:30 p.m. – 3:15 p.m.
Aviation Records: Finding Best Practices for Your Company

Speaker: Doug Stewart, SD Software Solutions

This session will discuss recordkeeping, the data sources and information you need to support your flight operations. Each company will have unique processes for capturing and documenting their flight records, as well as practical methods for ensuring their records are finalized, complete and accurate. This session will address the core data required, practical steps and best practices for resolving issues, preventing data gaps and capitalizing on your data.

3:15 p.m. – 3:30 p.m.
Afternoon Break
3:30 p.m. – 4:30 p.m.
International Tax Issues in the U.S. and in Europe

Presenters: Adrian Jones, Martyn Fiddler Associates Limited; Jim Meyer, Harper Meyer

U.S. registered aircraft operating in Europe face uncertainty with the implications of Brexit. Foreign owners and operators of aircraft in the U.S. under charter arrangements and leases often encounter a number of tax consequences which need to be identified and addressed. This session will discuss the status of value-added tax (VAT) laws and regulations governing operations within the European Union, temporary/permanent import rules, and the impact that Brexit may have in the near future. The discussion will then turn to issue-spotting for foreign owners, operators, charterers, lessors and lessees of aircraft in the U.S., including Fixed, Determinable, Annual or Periodic Income, Effectively Connected Income, Transportation Taxes, Excise Taxes, Fuel Credits, as well as sourcing rules for U.S. entities reporting international lease income, and foreign entities reporting obligations for U.S. lease income.

4:30 p.m. – 5:00 p.m.
Open Audience Q&A

These final 30 minutes will be reserved for your questions for our presenters. Questions may be asked live using the mics, or via the NBAA events app on-site.

Any person who attends an NBAA convention, conference, seminar or other program grants permission to NBAA, its employees and agents (collectively "NBAA") to record his or her visual/audio images, including, but not limited to, photographs, digital images, voices, sound or video recordings, audio clips, or accompanying written descriptions, and, without notifying such person, to use his or her name and such images for any purpose of NBAA, including advertisements for NBAA and its programs.