Today's Date: July 11, 2020

01/13 – Transit Tax Benefits Increase in 2013

The Internal Revenue Service announced earlier this month the tax changes from the recently passed American Taxpayer Relief Act of 2012. 

**For tax year 2013, the monthly limitation regarding the aggregate fringe benefit exclusion amount for transit passes and transportation in a commuter highway vehicle is $245, up from $240 for tax year 2012 (the legislation provided a retroactive increase from the $125 limit that had been in place).

So what does the above tax change mean to the average transit user?  If you and your employer take advantage of the pre-tax transit benefit, it means that you can save more money in 2013 and get a little more back on your 2012 tax return with the help of a retroactive increase of $240 from the $125 limit that had been in place for most of the year. 

**From an IRS announcement released Jan. 11, 2013