2007 TAX TIPS - PILOTS

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RA-DOME
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2007 TAX TIPS - PILOTS

Post by RA-DOME »

Hey boys,

Anyone out there willing to share their tax tips to help get a better return?

I think the "Per Diem" and "Flight Training Costs" items have been beaten to death, so any others out there?

Thanks
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E-Flyer
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Re: 2007 TAX TIPS - PILOTS

Post by E-Flyer »

Can you perhaps claim all the expenses you had on lay overs? Restaurants, Chocolate Bars, Room Service, and etc? because you're technically not on duty, but aren't you still under an airline behavior/operation? I might have this wrong but I think any expenses that corresponds to your layovers should be claimed. I'll ask my mother she's an accountant.


My 2 cents
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just curious
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Re: 2007 TAX TIPS - PILOTS

Post by just curious »

Study, get familiar with, and then have signed the form for long ditance transportation employees.

Your Medical, all licence and exam fees, all maps charts and pubs. As long as the receipt is vague anything you buy at a pilot supply place.

A reliable time piece with a sweep second hand (ie a citizen blue angels eco watch)
See note
:3. (1) No person shall operate an aircraft in IFR flight unless it is equipped with the following approved, serviceable instruments:
(a) an airspeed indicator with a means of preventing malfunction due to icing;
(i) unless another timepiece is readily available to all flight crew members, a reliable timepiece with a sweep second hand.

A noise cancelling headset if you have a note from your aviation examiner stating that your hearing is at risk without one. Ditto custom molded earplugs
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sky's the limit
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Re: 2007 TAX TIPS - PILOTS

Post by sky's the limit »

RA-DOME wrote:Hey boys,

Anyone out there willing to share their tax tips to help get a better return?

I think the "Per Diem" and "Flight Training Costs" items have been beaten to death, so any others out there?

Thanks

Get a Wife who's perpetually in Grad School......At this rate she'll have about 5 PhD's by the time it's over, and I'll have years of happy tax thoughts!

stl
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Mad Flying Ace
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Re: 2007 TAX TIPS - PILOTS

Post by Mad Flying Ace »

for guys working up north, you should check into t2200, and a tl2 forms.

MFA
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D5GRVTY
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Re: 2007 TAX TIPS - PILOTS

Post by D5GRVTY »

So STL, you're suggesting getting married to get out of taxes, Golden Jerry, golden............. :D
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AuxBatOn
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Re: 2007 TAX TIPS - PILOTS

Post by AuxBatOn »

E-Flyer wrote:Can you perhaps claim all the expenses you had on lay overs? Restaurants, Chocolate Bars, Room Service, and etc? because you're technically not on duty, but aren't you still under an airline behavior/operation? I might have this wrong but I think any expenses that corresponds to your layovers should be claimed. I'll ask my mother she's an accountant.


My 2 cents
If you get compensated by the company for those expenses (ie: Per Diem) I highly doubt you can claim it on taxes.

AuxBatOn
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MrWings
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Re: 2007 TAX TIPS - PILOTS

Post by MrWings »

Most co-pilots can be claimed as dependants.
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pa31guy
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Re: 2007 TAX TIPS - PILOTS

Post by pa31guy »

I know you dont want training costs but i think this is a little diffrent. If you leave a company and pay out your bond you can deduct that under education on your sched 11
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Wacko
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Re: 2007 TAX TIPS - PILOTS

Post by Wacko »

MrWings wrote:Most co-pilots can be claimed as dependants.
You made hot tea come out of my nose :(
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just curious
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Re: 2007 TAX TIPS - PILOTS

Post by just curious »

MrWings wrote:Most co-pilots can be claimed as dependants.
Wouldn't that make them co-dependant?
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props ahead
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Re: 2007 TAX TIPS - PILOTS

Post by props ahead »

could you claim a headset??
any other tips for the north? other than the daily rate...
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Captain X
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Re: 2007 TAX TIPS - PILOTS

Post by Captain X »

Where do you place these deductions for your medical, charts, headest etc. (what line or form do you need)
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LegoMan
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Re: 2007 TAX TIPS - PILOTS

Post by LegoMan »

You can claim Northern residency if you have lived at least 6 months continuously within the year.
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rd1331
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Re: 2007 TAX TIPS - PILOTS

Post by rd1331 »

So if co-pilots are dependants. Does a flight attendant equal a child dependant, that is when they show up to work. It is a hard life for them you know.

So can we claim the child tax credit, ohya isn't there a daycare tax credit. We should get that too, having to baby sit them.
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just curious
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Re: 2007 TAX TIPS - PILOTS

Post by just curious »

Where do you place these deductions for your medical, charts, headest etc. (what line or form do you need)
While I can't remember the number line 229 maybe? It is the employment related expense line.

A letter from your aviation examiner stating: That there has been a degradation in your hearing and that a noise-cancelling headset, and custom earplugs will be required for you to maintain your medical category should be retained for audit purposes.

All maps, 'little red books', charts, pubs, study manuals towards the obtention of a higher licence... the receipt from the pilot supply place should be retained.

For the watch, you will need A) the receipt, and B), the apporopriate regulation from both the current CARs and perhaps the old Air Nav Order, which I quoted above, which indicates that a reliable time piece including a sweep second hand is required to be accessable to each crew member and functional for IFR flight. The clock in the aicraft is not a chronograph, ad is therefore not acceptable for star shots for celestial navigation for northern operators, and the sweep second hance is required for timed turns in the event of the failure of the primary gyros.
:3. (1) No person shall operate an aircraft in IFR flight unless it is equipped with the following approved, serviceable instruments:
(a) an airspeed indicator with a means of preventing malfunction due to icing;
(i) unless another timepiece is readily available to all flight crew members, a reliable timepiece with a sweep second hand.


The most important item anyone should gleam from these postings is: KEEP ALL RECEIPTS!
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180
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Re: 2007 TAX TIPS - PILOTS

Post by 180 »

If you drove/moved a long distance, say from AB to ONT for the summer for a job, look into moving expenses. There's a seperate form, forget what it is off the top of my head, but you can claim mileage, food, etc.
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E-Flyer
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Re: 2007 TAX TIPS - PILOTS

Post by E-Flyer »

AuxBatOn wrote:
E-Flyer wrote:Can you perhaps claim all the expenses you had on lay overs? Restaurants, Chocolate Bars, Room Service, and etc? because you're technically not on duty, but aren't you still under an airline behavior/operation? I might have this wrong but I think any expenses that corresponds to your layovers should be claimed. I'll ask my mother she's an accountant.


My 2 cents
If you get compensated by the company for those expenses (ie: Per Diem) I highly doubt you can claim it on taxes.

AuxBatOn
You're right, talked to my mom. If you are not compensated, there's an employer form that your employer has to sign claiming that what ever expenses you are claiming is appropriate and within it's true limits. I don't think in that case airlines would sign something off for like Room Service lol.

Good Post You Guys !
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Re: 2007 TAX TIPS - PILOTS

Post by snowshoe »

Hi 180

If you manage to recall the title of that moving form could you please post it for us. Have been going to a job every spring out west for about seven years. Our tax guy had been using the "out bound" expenses on my yearly return. 3 years ago I was assessed and the expenses were denied. Could have made an appeal, but, that could have caused a review of the previous 4 years and and if those were reassessed -- well I might have been liable for back taxes if the expeses were denied.

The tax people claim since I make the "move" every year and then return "home" I am actually not moving, I'm just going to work. Yet, if I'm not mistaken , if I could scam them into thinking I was a student attending college, I could probably claim the $$$ in both directions. Shows who gets the attention of the law makers I guess, tens of thousands of voting parents of students or a very few thousand thread bare, kd eating pilots. So we're just staying low for an other year or two and will throw it at them again. It's a real rip, I travel over 3000 klms. to a job that keeps me away from home for up to 5 months and am not considered to have one fraking penny of honest expense.

Certain transport workers are allowed a bit of a break on their expenses. The truckers have a certain daily amount to use on their returns. If true or not, some of it does not even require receipts. That again shows the strength in numbers. I know groups of them started putting out political pressure until a couple MP's picked up on it and worked a deal for them. But I'm not going to hold my breath for something like that for "non major" aircrew.

Couldn't even guess how long it would take an unorganized,noncoherent group like the pilots to gather and then move on to such a goal. I know it would be longer than I can go without air.
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C-FABH
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Re: 2007 TAX TIPS - PILOTS

Post by C-FABH »

There was a great tax tips thread last year!
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Spokes
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Re: 2007 TAX TIPS - PILOTS

Post by Spokes »

To flight instructors for sure, and maybe some others. Do not become an employee, but act as an independant contractor. This makes for a whole pile of deductions available on the business side of things. Get a good accountant to help you with this. It will be worth every penny.

Lease your vehicle rather than buy. Home office expenses become deductable. meals, medical, maps, charts, headsets - no doctors note required. Get that watch, no need to quote from CARS. You will likely need a computer to run your business, it becomes deductable (as a CCA) as well. Ipod touch, well you need to get your email when away, not to mention internet access to get wx. That to can become a capital cost allowance deduction. Cell phone. The list goes on and on. You will need to show a profit after a few years, but this should not be a problem. This is all above board, legal.

Talk to an accountant, you'll be glad you did.
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