Hiboy Official:27 Mar, 2023

Newly Federal E-Bike Tax Credit Will Save Up to $1,500 on Your Purchase

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E-bikes are no longer just the creation for young people or cycling enthusiasts, they now increasingly become an essential part of people’s commuting, and errands, especially when the usage of automobiles and city traffic is getting worst. 


And now, good news for anyone considering purchasing an electric bicycle: the E-BIKE Act has been reintroduced into Congress, which could mean a more generous federal tax credit for e-bike purchases in the near future could be put into effect, led by several representatives and senators, and the legislation aims to prioritize e-bikes as a zero-carbon mode of transportation. 


“By incentivizing Americans to own and use e-bikes, we are allowing them the chance to help improve the quality of life in our communities and tackle the climate crisis in our country,” said Rep. Jimmy Panetta (D-CA) 

 

What Is in the US E-bike Credit Bill?

If it passes eventually, the E-BIKE Act would offer consumers a refundable 30% tax credit for a new e-bike purchase of less than $8,000 (Doubled from the previous e-bike tax credit proposal H.R.1019 by California Representative Jimmy Panetta), with the credit maxing out at $1,500. Each person can enjoy the discount once every three years, and couples can enjoy the discount twice if they jointly buy two electric bikes.


The additional change in the income cap, which is also double the income cap in the previous e-bike tax credit proposal, means that individuals making up to $150,000 or less per year could qualify for the tax credit.


While an e-bike tax credit was previously included in the House-approved Build Back Better Act in 2021, it was ultimately cut from what became the Inflation Reduction Act. However, reintroducing the E-BIKE Act brings hope to those interested in purchasing an electric bicycle.


What Is the Impact of the E-bike Act?

The E-BIKE Act would incentivize the use of electric bicycles as a competitive transportation option for more Americans and support a national effort to lower carbon emissions. In addition, the bill mandates a report from the IRS after two years to understand the distribution of the credit by income tax bracket and adjust for equity.

 

By offering tax credits for e-bike purchases, the E-BIKE Act could provide a valuable solution for individuals who are considering an electric bicycle but may be hesitant due to the cost. E-bikes offer numerous benefits, including reducing carbon emissions, improving health and fitness, and providing an affordable and efficient transportation option.

 

Overall, the reintroduction of the E-BIKE Act offers hope for those interested in purchasing an electric bicycle and could help to promote sustainable transportation and combat climate change on condition that you are qualified for the criterion mentioned above, and you are good to go choosing your beloved e-bikes with out of most $1500 tax rebate. 



Our All-Series E-bikes Are Eligible for Tax Rebate

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