Bicycle commuting reimbursement
Taxable
Can You Write Off Bicycle Commuting Reimbursement?
Short answer: The tax-free bike commuting benefit was permanently repealed, so reimbursements are taxable wages.
Fringe benefits are taxable wages unless a specific exclusion applies; the employer still deducts the cost either way, except where the law says otherwise.
Records to keep: Keep the receipt, proof of payment, and a note or log showing business use; for mixed-use items, track the business percentage.
Bicycle commuting reimbursement
Taxable
General Business
The tax-free bike commuting benefit was permanently repealed, so reimbursements are taxable wages.
Business justification
The tax-free bike commuting benefit was permanently repealed, so reimbursements are taxable wages. Fringe benefits are taxable wages unless a specific exclusion applies; the employer still deducts the cost either way, except where the law says otherwise.
Category
- Business Equipment & Products