Use IRS Section 179 and Bonus Depreciation to write off up to $1.25M on a yacht placed into charter in 2025.
Use IRS Section 179 and Bonus Depreciation to write off up to $1.25M on a yacht placed into charter in 2025.
Under current U.S. tax laws for 2025, high-net-worth individuals can significantly reduce the cost of a yacht purchase by taking advantage of generous depreciation incentives, provided the yacht is placed into active business use.
Whether your goal is to expand your investment strategy or enhance your lifestyle with global sailing opportunities, these tax benefits are designed to support your decision. Important Deadline: To claim depreciation for a given year, the yacht must be purchased and documented by December 31st of that same year, with the proven intent to place it into business use, such as charter service. This means the deadline to take advantage of the 2025 tax benefits is December 31, 2025.
Under IRS Section 179, individuals who acquire yachts for qualified business use, like charter programs, may deduct up to $1,250,000 of the purchase cost in 2025.
If your vessel costs more, you can stack bonus depreciation to write off up to 40% of the remaining value, offering a one-two punch of powerful tax benefits.
Example:
✅ Purchase a $2M catamaran →
✅ Deduct $1.25M under Section 179
✅ Deduct 40% of the remaining $750K ($300K) with bonus depreciation
Total year-one write-off: $1.55M
These tax benefits are available to U.S. taxpayers who:
Not sure where you stand? Dream Yacht can help you set up your ownership structure for success.
Tax Advantages: Deduct substantial portions of your investment
Charter Revenue: Earn monthly income through a professionally managed charter program
Owner Use: Enjoy exclusive sailing time at premier global destinations
Portfolio Diversification: Invest in a tangible asset with lifestyle perks
This isn’t just about owning a yacht—it’s about smart asset management with built-in tax efficiency.
Request your comprehensive PDF guide that shows how Section 179 deductions, bonus depreciation, and yacht ownership in charter management can create significant tax advantages when strategically combined.
Tax regulations evolve. Benefits expire. Your yacht must be purchased and documented by December 31, 2025, to take advantage of substantial tax benefits.
Bonus depreciation drops to merely 20% in 2026 – waiting could mean forfeiting hundreds of thousands in valuable deductions.
We collaborate with premier yacht manufacturers, including Lagoon, Bali, and Fountaine Pajot Catamarans – vessels engineered for elegance, excellence, and consistent charter profitability.
Next Steps:
Access the Guide
Book a Strategy Session
Browse Current Inventory
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Submit the form to access your complimentary PDF tax guide, filled with professional strategies for maximizing your yacht investment deductions in 2025. After submission, you’ll receive instant email access to the guide, along with opportunities to view current yacht inventory and discuss ownership structures tailored to your objectives.
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