FET tax holiday extension for private jet flights unlikely

FET tax holiday

A top executive from the National Business Aviation Association says don’t expect the Federal Excise Tax holiday to be extended

Congressional leaders in Washington D.C. are still trying to work out additional relief for companies and individuals impacted by the COVID-19 pandemic. Don’t expect an extension of the holiday for the 7.5% Federal Excise Tax (FET).

Who’s offering buy now, fly FET-free jet card discounts for 2021 and beyond

aircraft specific jet cards

Here’s an updated listed of the jet card sellers that are offering future tax savings if you buy a jet card before the end of the year

Well, more and more private jet card sellers are concluding that if you buy a jet card before the end of the year, your funds will fly you tax-free in 2021 and beyond – either until your card or the funds expire.

Sentient Jet adds FET free-flying for 2021 and beyond

Sentient Jet pricing and reviews

Sentient is the latest jet card provider to tell customers cards purchased through year’s end will save the 7.5% Federal Excise Tax for flights until funds are used

If you fly with Sentient Jet or are considering buying a jet card before the end of the year, the unit of Directional Aviation’s OneSky Flight unit is the latest provider to offer tax savings beyond the current expiration of the CARES Act, scheduled for Dec. 31, 2020.

NetJets, Nicholas Air, Jets.com, Airstream Jets, and Magellan Jets have previously said they would extend the tax benefit, a savings of 7.5% for domestic flights, and those that start or end within 220 miles of the U.S. northern and southern borders, for the life of the cards they sell.

Buy now Jet Card offers to save the 7.5% FET in 2021 are not created equal

CARES Act private aviation recipients

Guidance from the IRS infers if you buy a Jet Card now, you can save the 7.5% Federal Excise Tax for flights next year, maybe

(Updated Oct. 23, 2020) Get ready for a possible flood of email offers from private jet companies. The offer is to buy a jet card now for flights in 2021 and beyond. The goal is to save the 7.5% Federal Excise Tax for those post-New Year’s trips.

As part of the CARES Act, the collection of the tax is suspended through Dec. 31, 2020. Unless new legislation is put into place, it will snap back into effect on Jan. 1, 2021. The tax applies to domestic flights and those that begin or end within 225-miles of the Canadian and Mexican borders.

Jets.com rolls out 10-hour jet cards as COVID-19 Coronavirus response

Jets.com

The Jets Dot Com membership eliminates the 7.5% Federal Excise Tax from its inclusive pricing

Unused hours are refundable

The latest COVID-19 Coronavirus response to last-minute flying needs spurred by the pandemic is from jet card broker Jets.com.

Access to its fixed-rate, guaranteed availability no-fee membership now starts at 10 hours. The program is also refundable for unused hours.

Jets.com offers December discounts on jet cards

Jets.com

Hourly rates start at $5,188 for a light jet and range up to $10,588 for a large cabin aircraft

December generally means jet card deals, and Jets.com is continuing that approach.

Through the end of the year, Jets.com has reduced both prices and the number of hours customers need to buy.

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