IRS Announces 2016 Monthly Qualified Transportation Plan Limits
2016 Qualified Transportation Fringe Benefits Update:
On Wednesday, October 21, 2015, the Internal Revenue Service announced changes to monthly limits on the value of qualified transportation fringe benefits that an employer can provide its employees without being included in taxable income.
For 2016, the monthly limit on the amount that may be excluded from an employee’s income for qualified parking benefits has been increased to $255. The combined monthly limit for transit passes and vanpooling expenses for 2016 remains $130.
The monthly cap on the transportation fringe benefits are as follows:
- 2016 Parking: $255/month
- 2016 Transit/Vanpool: $130/month
You can read the full IRS release here.