Question

Select the best answer. Which of the following is a TCJA change that impacts businesses? Elimination of employer deductions for the cost of providing qualified employee transportation fringe benefits: parking allowances, mass transit passes, and van pooling. O B. Tax-free treatment for employees who receive qualified transportation fringe benefits. O C. Full deductibility for business interest expense in all cases. Tax-free treatment for up to $250 per month for employer paid bicycle commuting allowances. Submit Answers

Answer 1

Solution: Elimination of employer deduction for the cost of providing qualified employee transportation fringe benefits: parking allowances, mass transit passes and van pooling

Explanation: TCJA eliminated the deduction of employer for the expense of giving qualified employee transportation fringe benefits such as mass transit passes, parking allowances, and van pooling, employees are still permitted to receive such benefits on a tax-free basis