Parking lot If a business owns orleases a parking facility where employees park, then an employermay use any reasonable method to determine the cost of providingparking in that facility to the employees. (Photo:Shutterstock)

Employers who provide parking to employees, take note: theexpense has gone up and, for tax-exempt employers, may now resultin additional tax liability.

As previously noted, the Tax Cuts and Jobs Act brought surprising changein this area. For for-profit employers, the cost of providingparking to employees is no longer permitted as a deduction. Fortax-exempt employers, the cost of providing parking to employees is now includedin Unrelated Business Taxable Income (UBTI) calculations.

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