Corporate Aircraft Security Study
Lennon Security Corporation determines what type of security is needed to secure corporate aircraft and the employee. Once this is accomplished, the employer may be eligible to receive tax compensation benefits from the Internal Revenue Service.
Security Rule by the Internal Revenue Code (IRC 1.132-5 (m)) states if an employee falls under the “Safe Harbor Rules” then they can use a 200 percent multiplier when calculating personal use of an employer provided aircraft. This can produce significant savings if using aircraft that weigh more than 10,000 pounds.
However, the employee must be part of an overall security program. An overall security program is defined as a program in which security is provided to protect the employee on a 24-hour basis. Therefore, an overall security program is deemed to exist, with respect to an employee, if the following are satisfied:
An independent security study could conclude, for example, that security during air travel is necessary, but security on a 24-hour basis is unnecessary.
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