Author Topic: 2018 laws regarding pre tax commuter (parking) benefits??  (Read 311 times)

fuzzy math

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2018 laws regarding pre tax commuter (parking) benefits??
« on: October 31, 2018, 09:05:01 AM »
My employer stopped offering pre tax parking this year as a result of the new tax laws passed.
While browsing on a state government benefits site I saw that they still offer this option. I was curious if their page hadn't been updated or my employer is wrong, so I googled the relevant IRS publication
https://www.irs.gov/pub/irs-pdf/p15b.pdf

I still don't understand whether its allowed or not and I'm trying to figure out whether my employer or my state's government has it wrong. CPA thoughts please??

"Qualified transportation benefits arenít de- TIP ductile. Section 13304 of P.L. 115-97 provides that no deduction is allowed for qualified transpor- tation benefits (whether provided directly by you, through a bona fide reimbursement arrangement, or through a compensation reduction agreement) incurred or paid after December 31, 2017. Also, no deduction is allowed for any expense incurred for providing any transportation, or any payment or reimbursement to your employee, in connec- tion with travel between your employee's residence and place of employment, except as necessary for ensuring the safety of your employee, or for qualified bicycle com- muting reimbursements as described in section 132(f)(5) (F) (even though the exclusion for qualified bicycle com- muting reimbursements is suspended, as discussed ear- lier). While you may no longer deduct payments for quali- fied transportation benefits, the fringe benefit exclusion rules still apply and the payments may be excluded from
your employee's wages as discussed earlier."


fuzzy math

  • Pencil Stache
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  • Posts: 631
  • Location: PNW ---> Midwest (for now)
Re: 2018 laws regarding pre tax commuter (parking) benefits??
« Reply #2 on: November 01, 2018, 02:42:42 PM »
So it looks like it’s still legal. My employer said it was no longer allowed. Perhaps I should broach it with them...


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