Section 132 F

Employers save on payroll related taxes.

Section 132 f. Qualified transportation fringe benefits section 132 f of the internal revenue code or commuter tax benefits are like money in the bank. For purposes of this section the term qualified transportation fringe means any of the following provided by an employer to an employee. Irs section 132 f irs section 132 allows employees to pre tax eliminate payroll taxes on qualified commuter expenses which generally include payments for the use of mass transportation for example train subway bus fares and for parking see further details below.

Section 132 f 1 provides that the term qualified transportation fringe means 1 transportation in a commuter highway vehicle between home and work 2 any transit pass and 3 qualified parking. Internal revenue code section 132 f as amended by tea 21 title ix section 910. Employees save on federal income taxes.

For 2017 the maximum monthly pre tax contribution for mass transit is 255 00 and 255 00 for parking.