To amend the Internal Revenue Code of 1986 to provide that employer subsidies for mass transit and van pooling be treated as working condition fringe benefits which are not included in gross income.

Amends the Internal Revenue Code to include as a tax-excludible fringe benefit qualified employer-provided commuter services between an employee's residence and workplace. Includes as qualified services: (1) transportation furnished in a commuter highway vehicle (such as a van); and (2) transportation on public buses, trains, or subways that is paid for or reimbursed by the employer.