Long-distance commuters will receive an increased commuting allowance of 35 cents in 2021 and 38 cents in the years 2022 to 2026 as income-related expenses or business expenses for journeys to a primary place of work or place of business as well as for weekly family trips home in the case of double housekeeping from the 21st kilometer of distance, instead of the usual 30 cents per kilometer of distance. However, the increase is of no benefit to taxpayers whose taxable income is below the basic tax-free allowance.

Instead of taking the increased commuting allowances into account, commuters with a taxable income up to the amount of the basic tax-free allowance can therefore apply for a mobility bonus. Like the increased commuting allowances, this mobility allowance will only be granted for the years 2021 to 2026 for journeys between home and first place of work or place of business and for one family home journey per week as part of a double household management.

This will also provide relief for long-distance commuters whose taxable income is below the initial tax rate. However, this only applies to employees if the commuting allowances would also have had a tax effect if their income had been higher due to exceeding the employee lump sum.

The mobility bonus is not taxable income within the meaning of the Income Tax Act.