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Author Topic: [-] Conversion fee =/= maintenance fee ?  (Read 185 times)

Offline MM21

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[-] Conversion fee =/= maintenance fee ?
« on: October 06, 2019, 11:45:30 PM »
Just did some search in the forum and seemed this question is still not answered (?)  :(

I found conversion fee was deducted from cash but without counting against maintenance fee in the incoming statement thus the airline will receive no effects in taxation. When doing a conversion, the aircraft is bought and it is like doing a C-check or D-check. Reflecting the cost into maintenance fee would be more reasonable  ;D
« Last Edit: October 09, 2019, 11:53:19 AM by Sami »

Offline dmoose42

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Re: Conversion fee =/= maintenance fee ?
« Reply #1 on: October 07, 2019, 01:03:48 AM »
The cost of conversion is added to the book value of the plane which is then depreciated over its useful life (deducted as part of the depreciation expense).

Offline Sami

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Re: Conversion fee =/= maintenance fee ?
« Reply #2 on: October 09, 2019, 11:53:16 AM »
What dmoose42 is correct. Not a bug.


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