How CEO's Manage To Avoid Taxes On The Use Of Corporate Jets For Personal Travel

This article (via Manan Shukla) describes the waste of shareholder's money, and taxpayer money, on the personal use of corporate aircraft by corporate executives and directors. The personal use of corporate aircrafts is subject to taxation unless it used for security reasons. So corporate boards declare that there is a security risk if their CEO or directors use commercial airlines for personal travel. They also will compensate the CEO for any taxes associated with the use of corporate aircraft for personal travel. Its nice to be king or a CEO these days. It wasn't always this way. The CEO for a large computer company that for which I worked always flew economy class for business travel. He did this because he wanted to set an example for the thousands of employees who traveled on company business. I had friend who operated a travel agency that many of the computer company's employees used to book business travel. She told me that the company's employees were different from the employees of other companies that used her agency to book travel. She said that they always tried to get the least expensive flights. I guess the CEO knew what he was doing. Of course, he was just an old fashioned CEO who was concerned about his stakeholders.