Bicycle Commuters Benefit from $700 Billion Bailout Plan

Rachel Gordon of the San Francisco Chronicle writes: The $700 billion bailout bill intended to stop the tailspin of the nation’s financial sector did something else: It includes federal tax benefits for people who commute by bike. Starting in January, workers who use two-wheelers as their primary transportation mode to get to and from work will be eligible for a $20-a-month, tax-free reimbursement from their employers for bicycle-related expenses. In return, employers will be able to deduct the expense from their federal taxes. “It significantly legitimizes bicycling and elevates it to a credible commute mode, like riding a bus or train,” said Andy Thornley, program director for the San Francisco Bicycle Coalition. The money could be used to purchase, store, maintain or repair bikes that are used for a substantial portion of an employee’s commute.