ACT Congratulates Colorado on Alternative Transportation Options Tax Credit

On June 7^th, Colorado Governor Jared Polis, signed into law HB22-1026, the Alternative Transportation Options Tax Credit law. This bill will allow employers to claim a credit of up to 250,000 dollars per tax year for money that was spent to provide Alternative Transportation such as rideshare, vanpool, bikeshare and much more to their employees. The maximum amount that can be credited per employee per year is $2,000 dollars. This bill will enable employers to successfully move their employees from point A to point B and will afford employees a more comfortable and easier commute to work. The credit goes into effect for income tax years on or after January 1, 2023 and before January 1, 2025. 

In big news for the TDM community, this bill directly references Transportation Demand Management “For purposes of the bill, alternative transportation options means free or partially subsidized, generally accepted transportation demand management strategies, including but not limited to ridesharing arrangements, provision of ridesharing vans or low-speed conveyances… shared micromobility options… carsharing programs, and guaranteed ride home programs.” 

“ACT applauds the Colorado General Assembly and Governor Polis for a job well done”, said David Straus, Executive Director of the Association for Commuter Transportation.  “This legislation can serve as an example for other states to support private sector investment in transportation solutions that benefit employees and their communities.” 

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