Any tax experts out there?

[WickedWheels]

I need to be pointed in the right direction regarding corporate taxes...

Can corporations get tax breaks for encouraging their employees to cycle to work? Providing them with lockers, showers, bike storage, etc? Does anyone know where I can find information on this, if it even exists? I've looked up and down the IRS website and it has nothing. Google is useless, too.

[BumbleBeeDave]

. . . contacting a local accountant, or maybe seeing if that Velo attorney Bob Mionske knows anything about it and maybe he could write about it on VeloNews.com . . .

BBDave

[scienceguy08]

Alex,

I'll ask my CPA brother, don't know if he'll get back to me - busy season ya know. Plus I owe you one. I added a link to my picture page which show the bike going thru the build.

[bpm]

For a different perspective on this issue, consider this. Massachusetts has a regulation called "Rideshare". It's administered by the Department of Environmental Protection under the Air Pollution Control Regulations. It requires that companies with more than a certain number of employees (I think it's 250) to provide information and incentives to reduce the number of employees commuting in single occupancy vehicles. Things such as subsidizing public transportation costs, facilitating carpools, posting public transportation schedules are common practices for companies to address this. If you work for a company where this regulation applies, providing bike racks, lockers, etc. certain fits into this scheme, although it may not apply to enough employees for the company to justify its benefit.

[WickedWheels]

Thanks for your help, everyone!

[scienceguy08]

Here's my brother's take on your question. He's senior partner in his CPA firm.

There are some things you have to do to get this deduction. It would be something offered to all employees as a business perk or requirement and with some business purpose. Personally I think he won't have much luck claiming this unless he employees firemen or policemen or needs his workforce in super physical shape to perform their jobs. Not just keeping fit like everyone needs to do. They could all do that by walking and or running to work with no added cost. Like all these types of deductions, it has to pass the smell test. Good Luck!!!

[M_A_Martin]

Check with the League of American Bicyclists site. There will either be something there, or someone you can ask

www.bikeleague.org

[keno]

In a distantly prior life I did practice some tax law. In addition to looking at the benefits, both tax and otherwise, to the corporation, you also have to consider the employee's benefits and the possibility that they may have to show additional income for the benefits they receive. In this case it seems quite remote, but a good tax lawyer would consider the issue.

Here's a paragraph from msn's moneycentral that touches on the issue:

"Fringe benefits
An employer can give discount fare cards, passes or tokens to an employee who takes public transportation to work. If the subsidy provided is not worth more than $65 per month to you as an employee, it is considered a de minimis fringe benefit and, while the employer can deduct it, you do not receive any taxable income. Moreover, employer-provided free parking, up to a maximum value of $175 per month, is also excluded from income."

[WickedWheels]

Thanks again to everyone for their help! It was very useful.