This is relevant for bicycle commuters in USA only, I'm assuming (of which I am one).

Does this mean that an employer may opt to provide up to $20 per "qualified" month to an employee who bicycle commutes, and the $20 is tax-free?

Or does this mean there is a deduction available on an individual's tax form for bicycle commute months (does not involve employer's incentive program).

I think it is the former, not the latter. But I'm not an accountant.

Any help on this issue would help me and other bicycle commuters in USA. Thanks!