House bill restores mass transit subsidy

Rep. Nan Hayworth (R-N.Y.) introduced legislation to extend the mass transit tax break that expired at the end of 2011.

The subsidy would allow commuters to deduct up to $230 a month for mass transit expenses incurred getting to work. That tax break dropped to $125 per month in 2012.

In contrast, the parking benefit increased from $230 to $240 per month.

“Times are tough, and I want to do all I can to save our constituents’ hard-earned dollars,” Hayworth said in a release.

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The Senate included the extension of the mass transit benefit in its surface transportation bill. However, the legislation passed by the full Congress last week did not include this provision.

A spokesperson in the House Ways and Means Committee said the committee is doing a “top-to-bottom” review of extenders, including the mass transit subsidy.

The National Treasury Employees Union has been a vocal critic of letting the subsidy end, saying federal employees were already subject to a two-year pay freeze.


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