2015 & 2016 QUALIFIED TRANSPORTATION BENEFITS MADE PERMANENTBondBeebe
Michael Raiken, CPA
For those employers providing mass transit and qualified parking benefits to their employees, congress retroactively increased the excludible transit benefits for 2015 from $130 to $250 effective January 1, 2015, as part of the 2015 extender package, through the Consolidated Appropriations Act. The fringe benefit for these exclusions was made permanent and is adjusted for inflation.
Stay tuned for more information from our blog and the IRS on how to reclaim any pre-tax benefit in excess of the originally stated $130 per month amounts for 2015.
For 2016, the monthly fringe benefit exclusion for both the qualified parking and for commuter highway vehicle transportation and transit passes is $255.