Regs issued on transportation, commuting expenses

The Internal Revenue Service has issued final regulations concerning the deduction for qualified transportation fringe and commuting expenses, following changes made by the Tax Cuts and Jobs Act.

The TCJA generally disallowed deductions for qualified transportation fringe expenses and does not allow deductions for certain expenses of transportation and commuting between an employee’s residence and place of employment.

These final regulations address the disallowance of the deduction for expenses related to QTFs provided to an employee of the taxpayer, including providing guidance and methodologies to determine the amount of QTF parking expenses that is nondeductible.

The final regulations also address the disallowance of the deduction for expenses of transportation and commuting between an employee’s residence and place of employment, the IRS said.