Final answer:
In 2018, the maximum exclusion from income for transit passes was $260 per month. This was a tax-free benefit allowed by the IRS for commuter transportation benefits. The correct option is B.
Step-by-step explanation:
The question refers to the maximum amount that could be excluded from income in 2018 for transit passes which is a benefit provided by employers to their employees, often used for commuting to work via public transport.
According to the IRS guidelines for 2018, the maximum monthly exclusion amount for commuter transportation benefits was $260. This means that employees could receive up to $260 per month for transit passes, vanpooling, and commuter parking as a tax-free benefit. The correct option is B.