U.S. Senator Sherrod Brown (D-OH) announced earlier this month the introduction of a bill that would allow employers to give employees with Electric Vehicles (EVs) the same transportation tax benefits that are currently offered for traditional forms of transportation. These benefits include public transportation allowances, parking fees and public transit passes.
“As more Ohioans choose to drive electric vehicles to save on gas and reduce pollution, it’s important that employers have the opportunity to offer vehicle charging as a workplace benefit,” Brown stated. “Many workers are already able to exclude bus passes and parking fees from their taxable income and offering workers using new transportation options this same benefit will help Ohio employers recruit and retain talent.”
The Electric Vehicle Credit Act (S 4350) will exclude these benefits from pre-tax income in exactly the same way employees can exclude other transportation benefits for traditional transportation methods. Employers would be able to offer interested employees up to $250 per month without employees being taxed.
“Senator Brown has repeatedly demonstrated his leadership and his support for alternative fuels,” Clean Fuels Ohio Executive Director Sam Spofforth said. “This legislation will help employers put together a more attractive benefits package as the competition for quality employees continues to increase.”
The bill is expected to be referred to the Senate Finance Committee for hearings in the near future.