Tax Benefits for Bicycle Commuters: New Rules and Advantages
This act modifies tax rules for bicycle commuting benefits. Employees can now receive tax-free reimbursements for expenses related to using bicycles, including electric bikes and bikeshare programs, potentially lowering their tax burden. The aim is to encourage eco-friendly transportation and provide financial support for those choosing bicycles over cars.
Key points
Employers can offer tax-free reimbursements for bicycle commuting expenses to employees.
The definition of bicycle commuting now includes bikeshare programs and low-speed electric bicycles.
Reimbursements can cover expenses for bicycle improvements, repairs, and storage, expanding the scope of benefits.
A monthly limitation is introduced, set at 30% of the monthly limit for other transportation benefits, ensuring consistent support.
Expired
Additional Information
Print number: 117_S_1892
Sponsor: Sen. Brown, Sherrod [D-OH]
Process start date: 2021-05-27