Thursday, October 4, 2012

Comparison amongst Wet and Dry Leases

By Anas Hale


With the advancement in technologies and introduction of different new and a lot more efficient techniques of traveling, men and women have began exploring the globe. Many people use this technologies to take a look at different parts from the globe and know about their culture when most other people today take benefit from this technology for expanding their company and reaching to the new horizons. On the subject of traveling then jet charters whether commercial or private are regarded as because the fast and safe mode of traveling.

While, each of them are highly efficient but for those who typically travel for any enterprise tour exactly where you've got to follow the schedule strictly then you need to opt for private jet charters as they strictly follow the given schedule and by no means develop into late as a consequence of any jet charter tarmac delays. A further however additional effective way is to enter into wet or dry leases and get the charter so that you are able to use it whenever you want to.

A lay main don't have enough details about wet and dry leases as these terms are purely used in aviation business. Wet and dry leases are lease agreements of jet charters but there's a big distinction between both of them. In both the cases, jet charter is given to the second party for only fixed time period and ownership will not be shifted, it generally remains together with the party who is giving the jet charters to other party.

In an effort to stay clear of confusion or misconception, federal aviation administration has made certain rules with regards to the wet and dry leases. You've got to follow these guidelines whilst entering into any of these contracts otherwise your get in touch with will probably be considered void.

Now moving onto the comparison of wet and dry leases, dry lease could be the one in which the lessor agrees to give only the jet charter to lessee. I've used the word only simply because in dry lease the crew members aren't given to the lessee. Additionally, lessor also will not deliver any insurance coverage or maintenance towards the lessee and lessee has to handle all these items by himself.

However, in wet leases, the lessor not merely provides jet carter to you but in addition crew team and he also takes the upkeep responsibility but he takes the charges for providing all these services.

If we speak when it comes to tax then IRS enforce commercial federal excise tax (FET) on wet leases and non commercial federal fuel tax on dry leases.




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