New Personal Use of Corporate Aircraft Tax Rules: Notes for Tax and Executive Compensation Practitioners

Recently published tax regulations concerning the deductibility of expenses associated with personal use of corporate aircraft may have implications for those involved with public-company executive compensation disclosure, as well as for those tax practitioners who must apply the rules to prepare federal income tax returns. The attached note briefly summarizes the regulations, with a focus on the significant deductibility limitations for expenses related to the personal use of corporate aircraft by officers, directors and other “specified individuals,” and on those aspects of the regulations that may be of interest from a disclosure perspective.