SECTION 1. Subsection (B)(a) of section 3 of Chapter 62 of the General Laws, as appearing in the 2020 Official Edition, is hereby amended by striking out subparagraph (15) in its entirety and inserting in place thereof the following:-

(15)(i) Amounts expended by an individual for tolls paid for through a Fast Lane account or for weekly or monthly transit commuter passes for Massachusetts Bay Transit Authority transit, bus, commuter rail or commuter boat, not including amounts reimbursed by an employer or otherwise. In the case of a single person or a married person filing a separate return or a head of household, this deduction shall apply only to the portion of the expended amount that exceeds $150, and the total amount deducted shall not exceed $750. In the case of a married couple filing a joint return, this deduction shall apply only to the portion of the amount expended by each individual that exceeds $150, and the total amount deducted shall not exceed $750 for each individual.

(ii) Amounts expended by an individual for fares paid for Regional Transit Authority transit, not including amounts reimbursed by an employer or otherwise. In the case of a single person or a married person filing a separate return or a head of household, this deduction shall apply only to the portion of the expended amount that exceeds $50, and the total amount deducted shall not exceed $750. In the case of a married couple filing a joint return, this deduction shall apply only to the portion of the amount expended by each individual that exceeds $50, and the total amount deducted shall not exceed $750 for each individual.

(iii) The commissioner of revenue shall adopt regulations necessary for the implementation of this section.

SECTION 2. Section 1 shall be effective for tax years beginning on or after January 1, 2023.

SECTION 3. Not less than 30 days after passage of this Act, the department of revenue shall provide written notice of changes to the commuter deduction to cities and towns that operate regional transit authorities; provided further that the department shall post public signage at transit stops and on regional transit authority buses informing riders of changes to the commuter deduction under this Act.