Private Jets: When Tax Policy Moves the Market
Aviation attorney Jonathan Epstein was quoted in a Citywealth article analyzing trends for private aviation in 2026. The article highlighted strong market demand but acknowledged transactional headwinds such as tax incentives issues, ownership structuring questions and cross-border regulatory considerations. Mr. Epstein said his team has seen a notable increase in private jet deal activity, including involvement from family offices focused on optimizing how aircraft ownership and operations are structured. He also pointed to U.S. bonus depreciation as a continued driver of aircraft acquisitions and fractional ownership, while cautioning that qualification requirements can be complex and often require coordination among aviation, tax and private wealth advisors. He additionally emphasized that evolving tariff policy remains a variable in cross-border aircraft purchases, imports and financing, making proactive planning essential for buyers and sellers navigating multijurisdictional deals.
"The imposition of substantial tariffs on imports into the U.S. of goods originating in the EU, the U.K. and other countries impacts cross-border private jet transactions, as historically civil aircraft and associated parts could enter the U.S. duty free," he explained. "Subsequently, duties for civil aircraft of EU, U.K. and Swiss origin were reduced back to zero. However, tariffs on certain Canadian aircraft and parts and uncertainty as to future tariffs remain a concern that need to be addressed in cross-border aircraft transactions."