Frelinghuysen Supports Permanent Extension of Commuter Transit Tax Benefits
House Approves Permanent Extension of Commuter Transit Tax Benefits
Washington, DC – Rep. Rodney Frelinghuysen (NJ-11) praised the House of Representatives for passing the Protecting Americans from Tax Hikes Act (PATH) as part of the Fiscal Year 2016 Omnibus Appropriations Bill.
“The PATH Act helps millions of Americans keep more of their hard-earned money through pro-growth reforms, while providing clarity and certainty to help fix our broken tax code,” Frelinghuysen said.
“While living in the most densely populated state in the country, my northern New Jersey constituents deserve mass transit tax benefits that provide parity to parking benefits offered by employers,” Frelinghuysen added. “Additionally, I support the permanent extension of parity between mass transit and parking benefits as it incentivizes commuters to use mass transit to relieve congestion on the roads, bridges and tunnels in the area.”
The PATH Act makes permanent, the tax exclusion for employer-provided mass transit and parking benefits from gross income. Retroactively, qualified transportation benefits, such as transit passes, vanpools, and parking, provided by employers are excluded from income up to $250 a month for 2015. This amount will increase to $255 in 2016 and is indexed to inflation.