Stimulus bill equalizes tax breaks for parking, transit
During the presidential campaign, Barack Obama promised to equalize the tax breaks for driving and public transit. He accomplished this goal with passage of the economic stimulus package in February.
Previously, employers could write off nearly twice as much from their tax bill when they provided parking benefits than they could when they offered benefits that promoted transit, carpooling or vanpooling.
But under the American Recovery and Reinvestment Act, the new maximum for both types of benefits was equalized by raising the transit benefit. For 2009, the amount will be $230 per month, with increases for inflation at equal rates for 2010.
We consider this a Promise Kept.