In Information Letter 2014-17, the IRS reminds employers that the amount that the fair market value of employer-provided parking exceeds the amount (i) paid by the employee for the parking, if any, plus (ii) the amount excludible from income as “qualified parking,” is subject to income and employment taxes and withholding. For 2014, the amount excludible for qualified parking is $250 per month. Generally, qualified parking is parking provided by the employer on or near its premises. An employer is considered to provide parking if the employer pays for it (either directly or by reimbursing the employee) or provides it on property owned or leased by the employer.
A copy of the Information Letter is available here.