Haley Stevens: “my amendment mirrors a bill I introduced on an earlier occasion-S. 1410. This amendment would equate the tax treatment…”

“my amendment mirrors a bill I introduced on an earlier occasion-S. 1410. This amendment would equate the tax treatment of persons flying what would otherwise be empty seats on private noncommercial aircraft with the treatment of airline employees flying on space available basis on regularly scheduled flights. Currently, use of these empty seats is deemed taxable personal income to the employee. I refer to it as the empty-seat tax. In contrast, under current law, airline employees, retirees and their parents and children can fly tax-free on scheduled commercial flights for nonbusiness reasons. Military personnel and their families can hop military flights for nonbusiness reasons without the imposition of tax. Current and former employees of airborne freight or cargo haulers, together with their parents and children, can fly tax-free for nonbusiness reasons on seats that would have otherwise been empty. Employers who own or lease these aircraft are compelled by IRS regulations to consider 13 separate factors or steps in determining the incidence and amount of tax to be imposed on their employees. My proposal seeks to deal with this inequity by treating all passengers the same way, but includes a provision which retains a reasonable standard of proof at audit to prevent abuse. This amendment would not allow an executive to use a company jet to fly with his family and friends on vacation.”