My wife has decided that she would like to buy a boat. I am very supportive of this, because I am the only one in the relationship that ever spends any money, and now I will finally have something to hang over her head! We went “boat shopping” yesterday, and I learned a few things that I thought were interesting: 1). Holy kablooey, boats are expensive. I am forever putting to rest in my mind the idea that GA is dying due to the costs. Did you know that you can spend $300,000 on a new ski (surf) boat? Did you know you can get 30 year financing on such a boat? I did not know this. 2). We got talking to the owner of the dealership. He said that some people buy a brand new boat every year, others buy an older boat in cash and never sell it, and still others “work their way up” to a $100,000 boat in $20,000 increments, starting with a $40,000 boat and trading in every couple of years. To this last idea, I just commented something along the lines of “the problem there is that you pay the sales tax over and over.” The owner quickly pointed out that this is not the case - the trader upper only pays sales tax on the *difference* in price between the sold and purchased boat (I sell a $40,000 boat, buy a $60,000 boat, and pay tax on the $20,000 difference). Does anyone know if this applies to planes, or can be applied to planes? This is one of the things that keeps me from upgrading from my $90,000 plane to a $150,000 plane - a $10,000 tax bill. Would it require a “trade-in” through a dealership? Is there a way to coordinate a “trade-in” when the planes are not bought and sold at the same time, like the grace period on a 1031 exchange? Boats. Wow. They make us look like paupers!