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Supporting Transit Commutes Act
2/8/2025, 5:53 AM
Summary of Bill HR 409
Bill 119 HR 409, also known as the Transportation Fringe Benefits Act, aims to amend the Internal Revenue Code of 1986 to allow employers to deduct certain transportation fringe benefits. This bill would provide tax incentives for employers who offer transportation benefits to their employees, such as parking, transit passes, and vanpooling.
The bill seeks to encourage employers to provide these benefits by allowing them to deduct the costs associated with offering them from their taxable income. This would help reduce the financial burden on employers and incentivize them to offer transportation benefits to their employees.
By allowing employers to deduct these transportation fringe benefits, the bill aims to promote alternative modes of transportation, reduce traffic congestion, and lower carbon emissions. This could have a positive impact on the environment and public health, as well as improve the overall quality of life for employees who rely on these transportation options. Overall, Bill 119 HR 409 is a bipartisan effort to support sustainable transportation practices and provide tax incentives for employers to offer transportation fringe benefits to their employees.
The bill seeks to encourage employers to provide these benefits by allowing them to deduct the costs associated with offering them from their taxable income. This would help reduce the financial burden on employers and incentivize them to offer transportation benefits to their employees.
By allowing employers to deduct these transportation fringe benefits, the bill aims to promote alternative modes of transportation, reduce traffic congestion, and lower carbon emissions. This could have a positive impact on the environment and public health, as well as improve the overall quality of life for employees who rely on these transportation options. Overall, Bill 119 HR 409 is a bipartisan effort to support sustainable transportation practices and provide tax incentives for employers to offer transportation fringe benefits to their employees.
Congressional Summary of HR 409
Supporting Transit Commutes Act
This bill provides employers a tax deduction for certain transportation fringe benefits given to employees.
Under the bill, employers may deduct costs for providing employees transportation in a commuter highway vehicle (e.g., van pool) between the employee’s home and place of work or a transit pass. The amount of the deduction cannot exceed the aggregate exclusion amount for such fringe benefits ($325 per month per employee in 2025 and adjusted annually). Further, under the bill, the deduction cannot exceed 50% of such amount for transportation fringe benefits provided under a salary reduction agreement.
Read the Full Bill
Current Status of Bill HR 409
Bill HR 409 is currently in the status of Bill Introduced since January 15, 2025. Bill HR 409 was introduced during Congress 119 and was introduced to the House on January 15, 2025. Bill HR 409's most recent activity was Referred to the House Committee on Ways and Means. as of January 15, 2025
Bipartisan Support of Bill HR 409
Total Number of Sponsors
4Democrat Sponsors
4Republican Sponsors
0Unaffiliated Sponsors
0Total Number of Cosponsors
10Democrat Cosponsors
7Republican Cosponsors
3Unaffiliated Cosponsors
0Policy Area and Potential Impact of Bill HR 409
Primary Policy Focus
Alternate Title(s) of Bill HR 409
To amend the Internal Revenue Code of 1986 to allow employers to deduct certain transportation fringe benefits.
To amend the Internal Revenue Code of 1986 to allow employers to deduct certain transportation fringe benefits.
Comments
Sponsors and Cosponsors of HR 409
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