U.S. Representatives Tom Suozzi (NY-03), Kathleen Rice (NY-04), Peter King (NY-02), Gregory Meeks (NY-05), and Lee Zeldin (NY-01) have sent a bipartisan letter to the Internal Revenue Service (IRS) urging the agency to consider available options within its regulatory authority to provide targeted relief for individuals who have accumulated unused transportation benefits due to the COVID-19 pandemic. The letter also encourages the IRS to issue new guidance related to unused transportation benefits to address any ongoing confusion among employees, employers, and third-party providers.
Many Long Island commuters are enrolled in transportation benefits programs where a certain amount per month of their pre-taxed wages are deducted from their paychecks to pay for commuting costs. With several industries instituting work from home policies during the pandemic, many of these individuals can no longer access or utilize these funds as intended.
“Too many Long Islanders who are now working from home have had pre-taxed wages deducted from their paychecks to pay for unused transportation benefits programs offered by their employer,” said Rep. Tom Suozzi. “With many workers and families in need of critical financial assistance, the IRS must find a way to tap these unused commuter funds for targeted relief and other essential purposes. People can’t wait – they need all the help they can get.”
“Working families on Long Island are in need of assistance during this pandemic, and they could greatly benefit from access to their unused commuter funds,” said Rep. Kathleen Rice. “The IRS should allow commuters who have already allocated money into transportation benefits programs to utilize this money for their current needs.”
“It’s imperative that the IRS provide Long Islanders with access to their unused funds,” said Rep. Peter King. “The pandemic has been devastating for all and there is certainly no need for the IRS to punish those not at fault. We need to emerge stronger not weaker.”
“Transportation benefits that are sitting unused by commuters during this pandemic should be put to use in the form of financial assistance,” said Rep. Gregory W. Meeks. “Working families are in need of relief, and the IRS can provide some of that much needed relief by letting commuters enrolled in their program utilize their transportation funds.”
“For hardworking Long Islanders, every penny counts, especially as we emerge from the outbreak of coronavirus,” said Rep. Lee Zeldin. “Long Island commuters utilized programs to responsibly put aside money they thought they would use for public transportation costs. Then, they found themselves working from home instead. They deserve guidance on accessing these unused funds and their hard-earned money.”
The full text of the letter can be found here.
