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Tax Policy

Transit Benefit (Wrapped in Tax Cuts) Clears the Senate

The Senate voted 81-19 to support President Obama’s plan to extend the Bush tax cuts this afternoon. Some of those Senators probably didn’t even realize that they were also voting to extend equal tax benefits for transit commuters, on par with parking credits.

One Senator was certainly aware. Democrat Bob Menendez of New Jersey told Streetsblog:

New Jersey rail and bus commuters were hit by the largest fare hike in history this year, which is a prime reason that I led the push to deliver this tax relief. Instead of making it more expensive to commute by train and bus, we should be encouraging transit ridership to cut family transportation costs, take cars off the road and clean the air we breathe.

We’ll track this bill as it moves through the House, where the tax cut package makes progressive Democrats breathe fire.

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