I 

112TH CONGRESS 

2D SESSION H. R. 4199 

To amend the Internal Revenue Code of 1986 to close the corporate jet 

depreciation loophole and to increase the work opportunity tax credit 

for veterans. 

IN THE HOUSE OF REPRESENTATIVES 

MARCH 16, 2012 

Mr. RIGELL introduced the following bill; which was referred to the Committee 

on Ways and Means 

A BILL 

To amend the Internal Revenue Code of 1986 to close the 

corporate jet depreciation loophole and to increase the 

work opportunity tax credit for veterans. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Closing Corporate Jet 

5 Tax Loopholes to Employ Veterans Act of 2012’’ or as 

6 the ‘‘Jets for Vets Act of 2012’’. 


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1 SEC. 2. GENERAL AVIATION AIRCRAFT TREATED AS 7-YEAR 

2 PROPERTY. 

3 (a) IN GENERAL.—Subparagraph (C) of section 

4 168(e)(3) of the Internal Revenue Code of 1986 (relating 

5 to classification of certain property) is amended by strik6 ing ‘‘and’’ at the end of clause (iv), by redesignating clause 

7 (v) as clause (vi), and by inserting after clause (iv) the 

8 following new clause: 

9 ‘‘(v) any general aviation aircraft, 

10 and’’. 

11 (b) CLASS LIFE.—Paragraph (3) of section 168(g) 

12 of the Internal Revenue Code of 1986 is amended by in13 serting after subparagraph (E) the following new subpara14 graph: 

15 ‘‘(F) GENERAL AVIATION AIRCRAFT.—In 

16 the case of any general aviation aircraft, the re17 covery period used for purposes of paragraph 

18 (2) shall be 12 years.’’. 

19 (c) GENERAL AVIATION AIRCRAFT.—Subsection (i) 

20 of section 168 of the Internal Revenue Code of 1986 is 

21 amended by inserting after paragraph (19) the following 

22 new paragraph: 

23 ‘‘(20) GENERAL AVIATION AIRCRAFT.—The 

24 term ‘general aviation aircraft’ means any airplane 

25 or helicopter (including airframes and engines) not 

26 used in commercial or contract carrying of pasVerDate Mar 15 2010 23:16 Mar 16, 2012 Jkt 019200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H4199.IH H4199

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1 sengers or freight, but which primarily engages in 

2 the carrying of passengers.’’. 

3 (d) EFFECTIVE DATE.—This section shall be effec4 tive for property placed in service after December 31, 

5 2012. 

6 SEC. 3. INCREASE IN WORK OPPORTUNITY TAX CREDIT 

7 FOR VETERANS. 

8 (a) IN GENERAL.—In the case of any taxable year 

9 beginning after December 31, 2011, each of the specified 

10 veteran WOTC dollar amount limitations shall be in11 creased by the corporate jet loophole savings amount with 

12 respect to such limitation. 

13 (b) SPECIFIED VETERAN WOTC DOLLAR AMOUNT

14 LIMITATION.—For purposes of this section, the term 

15 ‘‘specified veteran WOTC dollar amount limitation’’ 

16 means each of the $12,000, $14,000, and $24,000 

17 amounts contained in section 51(b)(3) of the Internal Rev18 enue Code of 1986. 

19 (c) CORPORATE JET LOOPHOLE SAVINGS

20 AMOUNT.—For purposes of this section, the term ‘‘cor21 porate jet loophole savings amount’’ means, with respect 

22 to each specified veteran WOTC dollar amount limitation, 

23 the amount obtained by multiplying such limitation by 

24 such percentage as the Secretary of the Treasury (or his 

25 designee) determines will result in an aggregate decrease 


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1 in Federal revenue pursuant to this section which is equal 

2 to the aggregate increase in Federal revenue which the 

3 Secretary (or his designee) determines will result pursuant 

4 to section 1. 

Æ 


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