Bicycle Commuter Act of 2021

I 117TH CONGRESS 1ST SESSION H. R. 384 To amend the Internal Revenue Code of 1986 to modify employer-provided fringe benefits for bicycle commuting. IN THE HOUSE OF REPRESENTATIVES JANUARY 21, 2021 Mr. BLUMENAUER (for himself, Mr. BUCHANAN, and Ms. PRESSLEY) intro- duced the following bill; which was referred to the Committee on Ways and Means A BILL To amend the Internal Revenue Code of 1986 to modify employer-provided fringe benefits for bicycle commuting. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘Bicycle Commuter Act 4 of 2021’’. 5 SEC. 2. MODIFICATION OF EMPLOYER-PROVIDED FRINGE 6 BENEFITS FOR BICYCLE COMMUTING. 7 (a) REPEAL OF SUSPENSION OF EXCLUSION FOR 8 QUALIFIED BICYCLE COMMUTING REIMBURSEMENT.— 9 VerDate Sep 11 2014 15:47 Feb 10, 2021 Jkt 019200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H384.IH H384 pamtmann on DSKBC07HB2PROD with BILLS 2 •HR 384 IH Section 132(f) of the Internal Revenue Code of 1986 is 1 amended by striking paragraph (8). 2 (b) COMMUTING FRINGE INCLUDES BIKESHARE.— 3 (1) IN GENERAL.—Clause (i) of section 4 132(f)(5)(F) of such Code is amended by striking ‘‘a 5 bicycle’’ and all that follows and inserting 6 ‘‘bikeshare, a bicycle, and bicycle improvements, re- 7 pair, and storage, if the employee regularly uses 8 such bikeshare or bicycle for travel between the em- 9 ployee’s residence and place of employment or mass 10 transit facility that connects an employee to their 11 place of employment.’’. 12 (2) BIKESHARE.—Section 132(f)(5)(F) of such 13 Code is amended by adding at the end the following: 14 ‘‘(iv) BIKESHARE.—The term 15 ‘bikeshare’ means a bicycle rental oper- 16 ation at which bicycles are made available 17 to customers to pick up and drop off for 18 point-to-point use within a defined geo- 19 graphic area.’’. 20 (c) LOW-SPEED ELECTRIC BICYCLES.—Section 21 132(f)(5)(F) of such Code, as amended by subsection 22 (b)(2), is amended by adding at the end the following: 23 ‘‘(v) LOW-SPEED ELECTRIC BICY- 24 CLES.—The term ‘bicycle’ includes a two- 25 VerDate Sep 11 2014 15:47 Feb 10, 2021 Jkt 019200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H384.IH H384 pamtmann on DSKBC07HB2PROD with BILLS 3 •HR 384 IH or three-wheeled vehicle with fully operable 1 pedals and an electric motor of less than 2 750 watts (1 h.p.), whose maximum speed 3 on a paved level surface, when powered 4 solely by such a motor while ridden by an 5 operator who weighs 170 pounds, is less 6 than 20 mph.’’. 7 (d) MODIFICATION RELATING TO BICYCLE COM- 8 MUTING MONTH.—Clause (iii) of section 132(f)(5)(F) of 9 such Code is amended to read as follows: 10 ‘‘(iii) QUALIFIED BICYCLE COM- 11 MUTING MONTH.—The term ‘qualified bi- 12 cycle commuting month’ means, with re- 13 spect to any employee, any month during 14 which such employee regularly uses a bicy- 15 cle for a portion of the travel between the 16 employee’s residence and place of employ- 17 ment.’’. 18 (e) LIMITATION ON EXCLUSION.— 19 (1) IN GENERAL.—Subparagraph (C) of section 20 132(f)(2) of such Code is amended by striking ‘‘ap- 21 plicable annual limitation’’ and inserting ‘‘applicable 22 monthly limitation’’. 23 VerDate Sep 11 2014 15:47 Feb 10, 2021 Jkt 019200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H384.IH H384 pamtmann on DSKBC07HB2PROD with BILLS 4 •HR 384 IH (2) APPLICABLE MONTHLY LIMITATION DE- 1 FINED.—Clause (ii) of section 132(f)(5)(F) of such 2 Code is amended to read as follows: 3 ‘‘(ii) APPLICABLE MONTHLY LIMITA- 4 TION.—The term ‘applicable monthly limi- 5 tation’, with respect to any employee for 6 any month, means an amount equal to 30 7 percent of the dollar amount in effect for 8 the month under paragraph (2)(B).’’. 9 (3) AGGREGATE LIMITATION.—Subparagraph 10 (B) of section 132(f)(2) of such Code is amended by 11 inserting ‘‘and the applicable monthly limitation in 12 the case of any qualified bicycle commuting benefit’’. 13 (f) NO CONSTRUCTIVE RECEIPT.—Paragraph (4) of 14 section 132(f) of such Code is amended by striking ‘‘(other 15 than a qualified bicycle commuting reimbursement)’’. 16 (g) CONFORMING AMENDMENTS.—Paragraphs 17 (1)(D), (2)(C), and (5)(F) of section 132(f) of such Code 18 are each amended by striking ‘‘reimbursement’’ each place 19 it appears and inserting ‘‘benefit’’. 20 (h) EFFECTIVE DATE.—The amendments made by 21 this section shall apply to taxable years beginning after 22 December 31, 2021. 23 Æ VerDate Sep 11 2014 15:47 Feb 10, 2021 Jkt 019200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6301 E:\BILLS\H384.IH H384 pamtmann on DSKBC07HB2PROD with BILLS