FUNDING: N.Y. Sen. Schumer campaigns for extension of mass transit tax break

N.Y. Sen. Charles Schumer addressed Congress on Monday, advocating for the immediate extension of a tax break currently enjoyed by mass transit users. The senator said that he would withhold support for other pending tax extensions if the mass transit bill is not renewed by Jan. 1.

Under the current program, commuters can spend up to $245 of their pre-tax earnings per month on mass transit, parking and other commuter-related costs. To extend the life of the tax break—which he would like to make permanent—Sen. Schumer is introducing the Commuter Benefits Equity Act, which would essentially extend the tax break for two more years.

If the measure is not renewed, a mass transit tax break would still be in effect, but the allowable monthly amount would drop to $125.

According to the senator, 700,000 New Yorkers alone saved in excess of $330 million in 2012 thanks to this particular tax break.