[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[H.R. 990 Introduced in House (IH)]

114th CONGRESS
  1st Session
                                H. R. 990

To amend the Internal Revenue Code of 1986 to modify the exclusion for 
                        transportation benefits.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           February 13, 2015

 Mr. King of New York (for himself, Mr. Blumenauer, Mr. McGovern, Mr. 
 Sean Patrick Maloney of New York, Mr. Hultgren, Mr. Dold, Mr. Lance, 
and Mr. Lipinski) introduced the following bill; which was referred to 
                    the Committee on Ways and Means

_______________________________________________________________________

                                 A BILL


 
To amend the Internal Revenue Code of 1986 to modify the exclusion for 
                        transportation benefits.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Commuter Parity Act of 2015''.

SEC. 2. QUALIFIED TRANSPORTATION FRINGE.

    (a) In General.--Subsection (f) of section 132 of the Internal 
Revenue Code of 1986 is amended to read as follows:
    ``(f) Qualified Transportation Fringe.--
            ``(1) In general.--For purposes of this section, the term 
        `qualified transportation fringe' means any of the following 
        provided by an employer to an employee:
                    ``(A) Transportation in a commuter highway vehicle 
                if such transportation is in connection with travel 
                between the employee's residence and place of 
                employment.
                    ``(B) Any transit pass.
                    ``(C) Qualified parking.
                    ``(D) Any qualified bicycle commuting 
                reimbursement.
            ``(2) Limitation on exclusion.--The amount of the fringe 
        benefits which are provided by an employer to any employee and 
        which may be excluded from gross income under subsection (a)(5) 
        shall not exceed--
                    ``(A) $235 per month in the case of the aggregate 
                of the benefits described in subparagraphs (A) and (B) 
                of paragraph (1),
                    ``(B) $235 per month in the case of qualified 
                parking, and
                    ``(C) $35 per month for qualified bicycle commuting 
                reimbursement.
            ``(3) Cash reimbursements.--For purposes of this 
        subsection, the term `qualified transportation fringe' includes 
        a cash reimbursement by an employer to an employee for a 
        benefit described in paragraph (1). The preceding sentence 
        shall apply to a cash reimbursement for any transit pass only 
        if a voucher or similar item which may be exchanged only for a 
        transit pass is not readily available for direct distribution 
        by the employer to the employee.
            ``(4) No constructive receipt.--No amount shall be included 
        in the gross income of an employee solely because the employee 
        may choose between any qualified transportation fringe and 
        compensation which would otherwise be includible in gross 
        income of such employee.
            ``(5) Definitions.--For purposes of this subsection--
                    ``(A) Transit pass.--The term `transit pass' means 
                any pass, token, farecard, voucher, or similar item 
                entitling a person to transportation (or transportation 
                at a reduced price) if such transportation is--
                            ``(i) on mass transit facilities (whether 
                        or not publicly owned), or
                            ``(ii) provided by any person in the 
                        business of transporting persons for 
                        compensation or hire if such transportation is 
                        provided in a vehicle meeting the requirements 
                        of subparagraph (B)(i).
                    ``(B) Commuter highway vehicle.--The term `commuter 
                highway vehicle' means any highway vehicle--
                            ``(i) the seating capacity of which is at 
                        least 6 adults (not including the driver), and
                            ``(ii) at least 80 percent of the mileage 
                        use of which can reasonably be expected to be--
                                    ``(I) for purposes of transporting 
                                employees in connection with travel 
                                between their residences and their 
                                place of employment, and
                                    ``(II) on trips during which the 
                                number of employees transported for 
                                such purposes is at least \1/2\ of the 
                                adult seating capacity of such vehicle 
                                (not including the driver).
                    ``(C) Qualified parking.--The term `qualified 
                parking' means parking provided to an employee on or 
                near the business premises of the employer or on or 
                near a location from which the employee commutes to 
                work by transportation described in subparagraph (A), 
                in a commuter highway vehicle, or by carpool. Such term 
                shall not include any parking on or near property used 
                by the employee for residential purposes.
                    ``(D) Transportation provided by employer.--
                Transportation referred to in paragraph (1)(A) shall be 
                considered to be provided by an employer if such 
                transportation is furnished in a commuter highway 
                vehicle operated by or for the employer.
                    ``(E) Employee.--For purposes of this subsection, 
                the term `employee' includes an individual who is an 
                employee within the meaning of section 401(c)(1).
                    ``(F) Qualified bicycle commuting reimbursement.--
                For the purposes of this subsection, the term 
                `qualified bicycle commuting reimbursement' means any 
                employer reimbursement for reasonable expenses incurred 
                by the employee for the purchase of a bicycle and 
                bicycle improvements, repair, and storage, or 
                bikesharing program, if such bicycle is regularly used 
                for travel between the employee's residence and place 
                of employment.
            ``(6) Inflation adjustment.--
                    ``(A) In general.--In the case of any taxable year 
                beginning in a calendar year after 2016, the dollar 
                amounts contained in paragraph (2) shall be increased 
                by an amount equal to--
                            ``(i) such dollar amount, multiplied by
                            ``(ii) the cost-of-living adjustment 
                        determined under section 1(f)(3) for the 
                        calendar year in which the taxable year begins, 
                        by substituting `calendar year 2015' for 
                        `calendar year 1992'.
                    ``(B) Rounding.--If any increase determined under 
                subparagraph (A) is not a multiple of $5, such increase 
                shall be rounded to the next lowest multiple of $5.
            ``(7) Coordination with other provisions.--For purposes of 
        this section, the terms `working condition fringe' and `de 
        minimis fringe' shall not include any qualified transportation 
        fringe (determined without regard to paragraph (2)).''.
    (b) Conforming Amendments.--Sections 403(b)(3)(B), 414(s)(2), 
415(c)(3)(D)(ii) of such Code are each amended by striking 
``132(f)(4),''.
    (c) Effective Date.--The amendments made by this section shall 
apply to months beginning after the date of the enactment of this Act, 
in taxable years ending after such date.
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