The aircraft that come to us have a pattern. The owner has stopped flying, or died, or lost the medical. The annual is due, the hangar bill is not negotiable, the panel needs work nobody wants to pay for, and the family has spent two years not deciding. A donation solves a logistical problem first and a tax problem second, and this page is about both in that order.
Why owners actually call
None of those are tax situations. They are ownership situations, and they get worse with time, which is the argument for deciding rather than waiting.
What ends the day it leaves
- Hangar or tie-down rent, and any storage dispute that came with it.
- Hull insurance on an aircraft nobody is flying.
- The next annual, and the next set of findings.
- The pre-buy negotiation that never quite closes.
- The family conversation about what to do with it.
We handle pickup, transport, disassembly where it is needed, the title and lien search, and the FAA filing. What stays with you is a qualified appraisal where your claim requires one, and any payoff on a live loan. There is more detail on the lien page and the appraisal page.
Where the aircraft actually goes
Sound aircraft are sold and fly again with a new owner. Airframes worth more as teaching platforms go to maintenance programs, where an A&P class can learn sheet metal, systems and inspection on a complete aircraft. Damaged or mandate-grounded airframes are recovered for components that keep other aircraft flying.
Which of those happens decides whether your deduction rests on gross proceeds or on appraised value, so we tell donors the likely answer early. The full explanation is on what happens to a donated aircraft.
The tax side, briefly
A donation to a 501(c)(3) produces a charitable contribution deduction. For an aircraft we sell, the deduction is the gross proceeds, reported to you on Form 1098-C. Where we retain it for a significant charitable use, we certify that use and the claim rests on fair market value supported by a qualified appraisal.
Two things worth checking before you plan around it. The deduction reduces taxable income rather than paying you, and it is of no use at all to a taxpayer taking the standard deduction. Your CPA can settle both in a short conversation. The mechanics are on the tax deduction page.
When not to donate
We would rather say this plainly than have you find out afterwards.
- You need the money. A deduction is not a payment. If liquidity is the point, sell.
- You do not itemize. No itemized deductions, no benefit from this one.
- The aircraft is current and desirable. Fresh annual, mid-time engine, ADS-B, clean logs, popular type — that sells quickly and for real money.
- Someone has made you a genuine offer. Take it seriously.
The comparison is laid out properly on donating versus selling, including the cost of waiting for a buyer, which is the number most owners leave out.
Condition, and what we refuse
Condition shapes the plan, never the answer. We take aircraft that have not flown in a decade, aircraft with no logbooks, aircraft with damage history, projects in crates, and aircraft with an unreleased lien from a bank that no longer exists. No aircraft is refused for condition.
What stops a donation is legal rather than mechanical: disputed ownership, an unresolved live lien the donor cannot satisfy, or a shop holding the aircraft against an unpaid bill. Tell us about any of those on the first call and we will tell you whether there is a path.
Related reading
Start with a phone call
Tell us the type, the condition and the situation. We will tell you what is realistic, including when selling would serve you better.