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The very top of the 1% are waiting until after the presidential election to buy big ticket items like jets in the hopes that Donald Trump’s election could save them millions on taxes, The Post has learned. 

Im waiting until after November, one bi-coastal source who is looking to buy both a jet and a yacht for his business told The Post.

If I can save millions on my taxes by waiting a few more months I will.

Business owners or even someone who is paid through an LLC as a consultant can deduct the cost of buying a jet or yacht if it is used for a business expense like flying to meetings or hosting clients.

Separate tax deductions allow them to claim its running costs too.

Trump told a group of billionaires at a recent Palm Beach fundraiser hosted by hedge fund manager John Paulson that restoring the 2017 Tax Cuts and Jobs Act is a priority, according to CNN.

One of those cuts was 100% depreciation, or deducting the entire cost of a yacht or jet used for business expenses from taxes.

That means a $40 million jet is equivalent to a $40 million deduction from your tax bill — or nearly $15 million in savings given the average tax rate on the wealthiest Americans is 37%.

The amount someone can deduct from a tax bill for a capital investment — an item like a jet that can help a company’s growth — fell from 80% last year to 60% this year, in line with how the 2017 tax cuts were put in place.

It will drop to 40% in 2025, 20% in 2026, and 0% in 2027 unless the tax cuts are restored.

Trump’s comments behind closed doors have not been mirrored in public so far.

But a source involved in the Palm Beach International Boat Show in March which showed more than 800 boats and attracted more than 55,000 visitors told The Post that one of the main topics was whether to wait until after the election.

The boat show didn’t disclose how many sales were made. The yacht and private jet industries are intensely private.

“A lot of us are waiting to see what happens in the election… the Republican Party has promised 100% write-offs so that would save companies,” the Florida-based source added.

The prices of jets and yachts seem to show demand is slowing. In recent months, demand for anything between a super-midsize jet, which can sell for as little as $12 million, and ultra-long range aircraft, which can sell for as much as $75 million, has dipped according to CEO of Mikolay Jet Group Michael Mikolay.

A super-midsize aircraft like a Gulfstream G280 or Bombardier Challenger 300 can fly around 3,500 miles or the distance between New York and London.

An ultra-long range aircraft like a Bombardier Global 6000 or Gulfstream G700 can fly more than 8,000 miles the distance from NYC to the Middle East.

“Basically, there is more supply than demand right now,” Mikolay said of the pre-owned market in particular.

Between October 2023 and March 2024, 719 jets were sold — down from 815 jets sold in the same period the year before.

While the largest yachts, which can cost north of $65 million and typically attract international buyers aren’t taking a hit, the market for slightly cheaper boats in the $40 million to $65 million range is softening, super yacht broker Jamie Edmiston said.

A source in the jet space said his business clients — as opposed to those buying for leisure — are more sensitive to tax implications like the rate of depreciation.

If someone wants to buy his wife a Birkin he’ll spend the money but if hes looking to buy a jet for his business and he can save millions, hell wait, the source added.

Rich people   like anyone else want to save on taxes and if there is a legal way to do it they will. 

Partner at Soar Aviation Law Amanda Applegate said sales typically fall in the lead up to an election, “I do usually see a slow down every presidential election year” but adds it is more pronounced closer to August.

Chair of Business Aviation and Regulation practice at law firm VedderPrice David Hernandez told The Post he warns clients that waiting for a more favorable tax scheme doesn’t always work out — and that it can result in some sellers charging more.

If youre rushing to buy a plane at the end of the year, chances are sellers will increase their prices because they know you are desperate,” he adds.

Another chilling factor spooking potential jet buyers, Hernandez adds, is the increase in audits of jet owners that the IRS announced in February.

With expanded resources, IRS work in this area [private aircraft] will take off, IRS Commissioner Danny Werfel said earlier this year.

These aircraft audits will help ensure high-income groups arent flying under the radar with their tax responsibilities.

The IRS is expected to verify that someone writing a plane off their taxes is actually using it for business expenses — flying to visit clients or a factory they’ve invested in — as opposed to jetting to the Bahamas for a long weekend.

But Hernandez advises clients that there is no cause for alarm if you’re not doing anything illegal, “If you havent done anything wrong, who cares.”

The bi-coastal source who told The Post he is waiting to make a purchase said he plans to buy a yacht and a jet no matter what — he just wants to be smart about timing.

“There is huge value in having a boat… I can have a captive audience on my yacht for three hours who can’t wander anywhere and have to discuss business with me,” he added.

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Farage has ‘grabbed the mic’ to dominate media agenda, says Harman

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Farage has 'grabbed the mic' to dominate media agenda, says Harman

Nigel Farage has successfully exploited the Commons recess to “grab the mic” and “dominate” the agenda, Harriet Harman has said.

Speaking on Sky News’ Electoral Dysfunction podcast, the Labour peer said that the Reform UK leader has been able to “get his voice heard” while government was not in “full swing”.

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Mr Farage used a speech this week to set himself, rather than Kemi Badenoch’s Tories, up as the main opposition to Sir Keir Starmer at the next election.

The prime minister responded on Thursday with a speech attacking the Clacton MP.

Baroness Harman said: “It’s slightly different between opposition and government because in government, the ministers have to be there the whole time.

“They’ve got to be putting legislation through and they kind of hold the mic.

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“They can dominate the news media with the announcements they’re making and with the bills they’re introducing, and it’s quite hard for the opposition to get a hearing whilst the government is in full swing.

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‘Big cuts’ to fund other Reform UK policies

“What we used to do when we were in opposition before 1997 is that as soon as there was a bank holiday and the House was not sitting, as soon as the half-term or the summer recess, we would be on an absolute war footing and dominate the airwaves because that was our opportunity.

“And I think that’s a bit of what Farage has done this week,” Harman added.

“Basically, Farage can dominate the media agenda.”

She went on: “He’s kind of stepped forward, and he’s using this moment of the House not sitting in order to actually get his voice heard.

“It’s sensible for the opposition to take the opportunity of when the House is not sitting to kind of grab the mic and that is what Nigel Farage has done.”

But Baroness Harman said it “doesn’t seem to be what Kemi Badenoch’s doing”.

She explained that the embattled leader “doesn’t seem to be grabbing the mic like Nigel Farage has” during recess, and added that “there’s greater opportunity for the opposition”.

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UK to build weapons factories and buy thousands of missiles in £6bn push to rearm

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UK to build weapons factories and buy thousands of missiles in £1.5bn push to rearm

The UK will buy up to 7,000 long-range missiles, rockets and drones and build at least six weapons factories in a £6bn push to rearm at a time of growing threats.

The plan, announced by the government over the weekend, will form part of Sir Keir Starmer’s long-awaited Strategic Defence Review, which will be published on Monday.

However, it lacks key details, including when the first arms plant will be built, when the first missile will be made, or even what kind of missiles, drones and rockets will be purchased.

The government is yet to appoint a new senior leader to take on the job of “national armaments director”, who will oversee the whole effort.

Andy Start, the incumbent head of Defence Equipment and Support – the branch of defence charged with buying kit – is still doing the beefed-up role of national armaments director as a sluggish process to recruit someone externally rumbles on.

Keir Starmer and  Volodymyr Zelenskyy speak to the press as they attend a presentation of Ukrainian military drones.
Pic: Reuters
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Sir Keir Starmer and Volodymyr Zelenskyy at a presentation of Ukrainian military drones. Pic: Reuters

Revealing some of its content ahead of time, the Ministry of Defence said the defence review will recommend an “always on” production capacity for munitions, drawing on lessons learned from Ukraine, which has demonstrated the vital importance of large production lines.

It will also call for an increase in stockpiles of munitions – something that is vitally needed for the army, Royal Navy and Royal Air Force to be able to keep fighting beyond a few days.

Some £1.5bn will be invested in the new factories, the government said. It said this additional funding will lift total expenditure on munitions to £6bn this parliament.

Sky News will launch a new podcast series on 10 June based around a wargame that simulates an attack by Russia against the UK to test Britain’s defences

“The hard-fought lessons from [Vladimir] Putin’s illegal invasion of Ukraine show a military is only as strong as the industry that stands behind them,” John Healey, the defence secretary, said in a statement released on Saturday night.

“We are strengthening the UK’s industrial base to better deter our adversaries and make the UK secure at home and strong abroad.”

Army Commandos load a 105MM Howitzer in Norway.
Pic: Ministry of Defence Crown Copyright/PA
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Army Commandos load a 105mm Howitzer in Norway. Pic: Ministry of Defence/PA

The UK used to have a far more resilient defence industry during the Cold War, with the capacity to manufacture missiles and other weapons and ammunition at speed and at scale.

However, much of that depth, which costs money to sustain, was lost following the collapse of the Soviet Union in 1991, when successive governments switched funding priorities away from defence and into areas such as health, welfare and economic growth.

Even after Russia’s full-scale invasion of Ukraine in 2022 and a huge increase in demand from Kyiv for munitions from its allies, production lines at UK factories were slow to expand.

A reaper drone in the Middle East as part of Operation Shader. Pic: Ministry of Defence
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A reaper drone in the Middle East. Pic: Ministry of Defence

Sky News visited a plant run by the defence company Thales in Belfast last year that makes N-LAW anti-tank missiles used in Ukraine. Its staff at the time only worked weekday shifts between 7am and 4pm.

Under this new initiative, the government said the UK will build at least six new “munitions and energetics” factories.

Energetic materials include explosives, propellants and pyrotechnics, which are required in the manufacturing of weapons.

There were no details, however, on whether these will be national factories or built in partnership with defence companies, or a timeline for this to happen.

There was also no information on where they would be located or what kind of weapons they would make.

King Charles  visiting HMS Prince of Wales as the Royal Navy finalises preparations for a major global deployment to the Indo-Pacific this spring.
Pic: PO Phot Rory Arnold/Ministry of Defence/PA
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King Charles visits HMS Prince of Wales. Pic: PO Phot Rory Arnold/Ministry of Defence/PA

In addition, it was announced that the UK will buy “up to 7,000 UK-built long-range weapons for the UK Armed Forces”, though again without specifying what.

It is understood these weapons will include a mix of missiles, rockets and drones.

Sources within the defence industry criticised the lack of detail, which is so often the case with announcements by the Ministry of Defence.

The sources said small and medium-sized companies in particular are struggling to survive as they await clarity from the Ministry of Defence over a range of different contracts.

One source described a sense of “paralysis”.

The prime minister launched the defence review last July, almost a year ago. But there had been a sense of drift within the Ministry of Defence beforehand, in the run-up to last year’s general election.

The source said: “While the government’s intentions are laudable, the lack of detail in this announcement is indicative of how we treat defence in this country.

“Headline figures, unmatched by clear intent and delivery timelines which ultimately leave industry no closer to knowing what, or when, the MOD want their bombs and bullets.

“After nearly 18 months of decision and spending paralysis, what we need now is a clear demand signal from the Ministry of Defence that allows industry to start scaling production, not grand gestures with nothing to back it up.”

As well as rearming the nation, the government said the investment in new factories and weapons would create around 1,800 jobs across the UK.

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Prison officers should be armed with lethal weapons to crack down on Islamist terrorists, Tories say

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Prison officers should be armed with lethal weapons to crack down on Islamist terrorists, Tories say

Prison officers should be armed with lethal weapons to crack down on Islamist terrorists in jail, the shadow justice secretary has said.

Highly trained teams should also be equipped with tasers, stun grenades and baton rounds to tackle dangerous criminals in high-security jails, Robert Jenrick said.

The plan is taken from a series of recommendations by counter-extremism expert and former prison governor Ian Acheson.

It comes after a prison officer at high-security prison Long Lartin in Worcestershire was stabbed on Friday morning with a weapon Sky News understands was brought in from outside the prison.

It also follows several attacks on prison officers in jails.

In April this year, the Manchester Arena bomb plotter, Hashem Abedi, allegedly assaulted prison staff by throwing hot oil on them and then launching a stabbing attack, injuring three officers.

At Belmarsh prison, Southport killer Axel Rudakubana has been accused of throwing boiling water over an officer through the hatch in his cell door earlier this month.

A prison wall. Pic: PA
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File pic: PA

Mr Jenrick said: “Islamist gangs and violent prisoners in our jails are out of control.

It’s a national security emergency, but the government is dithering. If they don’t act soon, there is a very real risk that a prison officer is kidnapped or murdered in the line of duty, or that a terrorist attack is directed from inside prison.”

He said he commissioned Mr Acheson to conduct a rapid review into measures the government could adopt.

The measures include removing all radical Islamist imams working in prisons, immediately rolling out high-collar stab vests to frontline officers, and mandating the quarterly release of data on religious conversions in prison and faith-based incidents.

It also recommended legislating to overturn the De Silva ruling to strip back judicial interference in operational decisions by governors to isolate extremists.

Mr Jenrick added: “We have to stop pussy-footing around Islamist extremists and violent offenders in jails.

“That means arming specialist prison officer teams with tasers and stun grenades, as well as giving them access to lethal weapons in exceptional circumstances.

“If prison governors can’t easily keep terrorist influencers and radicalising inmates apart from the mainstream prisoners they target, then we don’t control our prisons – they do. We must take back control and restore order by giving officers the powers and protection they need.”

Mr Acheson said: “Too often what goes wrong behind the walls of our high security jails passes unnoticed, as does the bravery of the men and women in uniform who deal every day with terrorists and other highly dangerous offenders.

“Robert Jenrick is right – the threat to officer safety is now intolerable and must be met decisively by the government.

“The balance inside too many of our prisons has shifted away from control by the state to mere containment and the price is soaring levels of staff assaults and wrecked rehabilitation. Broken officers can’t help fix broken people – or protect the public from violent extremism.”

A Ministry of Justice source said: “The government considers the introduction of lethal weapons into prisons would put prison officers at greater risk.”

They added: “The last government added just 500 cells to our prison estate, and left our jails in total crisis. In 14 years, they closed 1,600 cells in the high-security estate, staff assaults soared, and experienced officers left in droves. Now the arsonists are pretending to be firefighters.

“This government is cleaning up the mess the last government left behind. We are building new prisons, with 2,400 new cells opened since we took office. And we take a zero-tolerance approach to violence and extremism inside.”

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