The K-1 is the tax document that reports your share of the partnership’s income, deductions, and credits for the previous calendar year. You'll need the K-1 when it's time to file your taxes. It shows you and the IRS what taxable events happened within the partnership on your behalf for that calendar year.
On your K-1, you’ll see various line items that reflect the Pod’s financial activity allocated to you. This can include:
Income or Loss from Operations: e.g., charter rental income minus expenses.
Depreciation Deductions: Your share of any tax depreciation we took on the aircraft (often a significant deduction).
Interest or Dividend Income: If the Pod held any securities or cash that earned interest.
Capital Gains or Losses: If any assets were sold during the year (like if we sold a plane or some stock investments in the portfolio).
Credits: Any tax credits that might apply (for example, if there were specific aviation-related credits, though those are less common).
We aim to send out K-1 forms to all Craft Pod investors by mid-September each year (or earlier if possible). We work with our accountants to get the information to you as quickly as possible, while ensuring their accuracy.
Please read our full disclosures before making an investment decision.