The upstart jet card broker and private jet management company is the latest provider to say you can fly sans the Federal Excise Tax in 2021 and beyond if you make a deposit this year
Alliance Aviation, launched last year when Kevin Wargo and Christ Tasca exited Dumont Aviation, is the latest jet card seller to jump on the tax-free flying bandwagon.
Tasca says anyone who buys a jet card before the end of the year will fly FET-free for the life of the card or until their deposit expires.
The offer is a result of the CARES Act. To encourage people to fly, the bipartisan legislation suspended the 7.5% tax collection through Dec. 31, 2020.
While the tax event is tied to the ticket purchase date instead of flight, it was unsure how that would apply to jet cards.
While NetJets has been promoting buy now, fly tax-free since the start, other companies mainly sat on the sidelines. However, that’s changed.
In recent weeks, the floodgates have opened, apparently on tax lawyers’ advice, who believe it applies to prepaid jet cards as well.
Since its launch, Tasca and Wargo have notched 20 aircraft transactions, have eight aircraft under management, 45 employees, and have signed 60 members to its jet card program with over 2,500 legs flown.