As stated in the UH Announce email dated November 1, 2018, the Tax Cuts and Jobs Act passed by Congress and signed by President Trump in December 2017 requires corporations and tax-exempt organizations (including universities) to recognize pre-tax qualified parking and transportation benefits as unrelated business income. That means this type of benefit is now to be treated as taxable income for the University. As a result, the University will no longer be able to offer the pre-tax qualified parking and transportation benefits effective January 1st, 2019.
Employees who do not have parking paid for via pre-tax payroll deductions (TB780, TB781, or TB782 agent codes on your paystub) are not affected by this change.
Employees who currently have parking paid for via pre-tax payroll deductions will automatically be rolled over to post-tax payroll deductions unless you otherwise notify Commuter Services. Employees should see no change on the January 5, 2019 paycheck, other than the intended change to post tax deductions. For employees that do not seem to have transitioned correctly, please reach out to us at firstname.lastname@example.org, and must provide a redacted copy of your paystub, along with a description of what you believe is wrong. That means:
- No pay information
- No other deductions shown except for “TB” or “PK” deductions
Most employees will either digitally remove the information using a PDF app, or print a hard copy and white out the sensitive information before scanning a copy to us. Non redacted paystubs will be immediately destroyed and deleted, and our department will not look into the issue reported.