For over a decade the Federal government has allowed transit riders to use pre-tax money to pay for their ride to and from work. A benefit of greatest interest and benefit to commuter rail riders who often pay more over $100 a month for their passes. Unfortunately, due to congressional inaction, in 2012 the tax code subsidized driving to work over transit by allowing employees to spend up to $230 per month in parking expenses tax-free but only allowing $125 per month for public transportation. Attempts to restore parity between these programs foundered in the choppy seas of Congress. However, in one of the lesser-known elements of the fiscal cliff deal, the two benefits have now been set at equal levels again ($240/month) for 2012 (retroactively, although there are very read more…
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