Government Issues

Senate votes to make transit benefit receive permanent parity with parking benefit

Posted on December 21, 2015

Photo: Elliot P.
Photo: Elliot P.

With the passage of the tax extenders legislation in the U.S. Senate on Dec. 18, the commuter benefit for public transportation riders is one step closer to receiving permanent parity with the parking benefit. All that remains is for President Obama to sign the legislation, which was attached to the omnibus appropriations bill.

“This is a great holiday present for the millions of Americans who use public transportation,” said Valarie J. McCall, American Public Transportation Association (APTA) chair and board member of the Greater Cleveland Regional Transit Authority. “Finally, the U.S. tax code will be consistent for both public transit riders and those individuals who use the parking benefit. We look forward to President Obama signing it into law.”

“This is a significant shift in policy that will promote greater usage of public transit,” said APTA president/CEO Michael Melaniphy. “The federal tax law is now fair and no longer favors driving and parking over public transportation.”

McCall and Melaniphy also praised U.S. Senator Chuck Schumer for his relentless and steadfast dedication to enacting legislation that would bring the public transit benefit into permanent parity with the parking benefit.

“In addition, we are pleased that the Alternative Fuels Tax Credit has been extended through 2016. This will not only help the many public transportation systems across the country who use alternative fuel, but will encourage additional public transit agencies to use alternative fuels,”  Melaniphy added.

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