The American Recovery and Reinvestment Tax Act of 2009, signed into law on Feb. 17, provides a temporary boost to mass transit and vanpool benefits that companies can provide to their employees.
From March 1, 2009 through the end of 2010, employers either can (1) fund certain employee commuting expenses themselves and get a corresponding tax deduction, or (2) allow their employees to fund their own expenses tax-free, through a qualified transportation fringe benefits (QTFB) plan.