Dollar value declared on glider bill-of-sale

On Sunday, November 18, 2012 5:50:38 PM UTC-8, Greg Arnold wrote:
The FAA doesn't care what you paid for the glider. The language on the

bill of sale is just there to establish that there is a contract between

the parties (that there is consideration -- see

https://en.wikipedia.org/wiki/Consideration).



"$1000 and other good and valuable consideration" equals $28,000 or any

other value. It all depends on how you define "good and valuable

consideration." I think you will find a lot of FAA bills of sale use

similar language, and you are not committing fraud if you use this

language. This way you don't broadcast to the world what you paid. I

would bet you would see similar language on the bill of sale of most

corporate jets.



The IRS never looks at these forms, and doesn't care what they say. The

IRS knows that no one ever makes a capital gain on a depreciating asset

like an aircraft, so it won't be coming after anyone for capital gains tax.