Connect with us

Hi, what are you looking for?

CleanTechnica
RadWagon 4
RadWagon 4

Bicycles

Proposed E-BIKE Act Legislation Would Offer 30% Tax Credit For E-Bike Purchases In US

File this one under I, for “it’s about time,” because although electric vehicles and solar power already have purchase incentives in place in the form of tax credits, electric bikes are still considered child’s play, I guess.

The Electric Bicycle Incentive Kickstart for the Environment (E-BIKE) Act, sponsored by Representatives Jimmy Panetta (D-CA) and Earl Blumenauer (D-OR), is the kind of legitimizing move that e-bikes (and the entire micromobility movement) deserve, considering their low carbon footprint, general affordability, and easy accessibility (no license, registration, or insurance needed).

Surface 604 Shred e-bike

Surface 604 Shred e-bike image by Kyle Field, CleanTechnica.com

The E-BIKE Act creates a consumer tax credit that:

    • Covers 30% of the cost of the electric bicycle, up to a $1,500 credit
    • Applies to new electric bicycles that cost less than $8,000
    • Is fully refundable, allowing lower-income workers to claim the credit

Considering that a decent entry-level electric bike (meaning one that has enough power and a big enough battery size to handle daily and weekly commutes, with proven quality components, not bargain basement junky parts) starts at about $1000 — your mileage may vary — and goes up from there, a 30% tax credit is no chump change. And with a price limit for e-bikes to qualify for the tax credit set at $8000, there are plenty of options on the table for those looking for a seriously well-built e-bike that could very well last for years, if not decades.

“E-bikes are not just a fad for a select few, they are a legitimate and practical form of transportation that can help reduce our carbon emissions. My legislation will make it easier for more people from all socio-economic levels to own e-bikes and contribute to cutting our carbon output. By incentivizing the use of electric bicycles to replace car trips through a consumer tax credit, we can not only encourage more Americans to transition to greener modes of transportation, but also help fight the climate crisis.” —  Congressman Panetta

The new legislation, if signed into law, will allow e-bike buyers to receive a refundable 30% tax credit on qualifying new e-bikes (with a cost less then $8000), and according to PeopleForBikes, “The credit would be allowed once per individual every three years, or twice for a joint-return couple buying two electric bicycles. The bill also mandates a report from the IRS after two years to understand the distribution of the credit by income tax bracket and adjust for equity in the future.”

If you’re in favor of extending tax credits to not just electric car buyers and home solar purchasers, but also to prospective e-bike buyers, PeopleForBikes has a quick and easy way to email your support to your representative so they can co-sponsor the bill.

“Incentivizing electric bicycles makes them a competitive transportation option for more Americans and supports a national effort to lower carbon emissions. The E-BIKE Act rightfully positions electric bicycles as a critical part of a larger solution to climate change and equitable mobility. We’re grateful to Congressman Panetta for leading the charge in Congress.” — Jenn Dice, PeopleForBikes CEO

The E-BIKE Act is supported by:

  • PeopleForBikes
  • League of American Bicyclists
  • California Bicycle Coalition
  • Bike Santa Cruz County
  • Bicycling Monterey
  • Mike’s Bikes
  • Ecology Action
  • CALSTART
  • U.S. PIRG
  • The National Resources Defense Council
  • Gazelle Bikes
  • Current eBikes

Featured image of RadPower Bikes RadWagon by Kyle Field, CleanTechnica.com

 
 
 
Don't want to miss a cleantech story? Sign up for daily news updates from CleanTechnica on email. Or follow us on Google News!
 

Have a tip for CleanTechnica, want to advertise, or want to suggest a guest for our CleanTech Talk podcast? Contact us here.
Advertisement
 
Written By

Derek lives in southwestern New Mexico and digs bicycles, simple living, fungi, organic gardening, sustainable lifestyle design, bouldering, and permaculture. He loves fresh roasted chiles, peanut butter on everything, and buckets of coffee. Catch up with Derek on Twitter, Google+, or at his natural parenting site, Natural Papa!

Comments

You May Also Like

Bicycles

Electric bikes are a dime a dozen these days, so it’s rare to find one that stands out from the pack. When I first...

Bicycles

Shop local and get a rebate of up to $400 in DC!

Clean Transport

Jelbi is a mobility app created for the city of Berlin that integrates public and private services into one online experience.

Bicycles

By my count, CleanTechnica has published 1,457 reviews about e-bikes. And why not? Over the past several years, the number of e-bikes on the...

Copyright © 2023 CleanTechnica. The content produced by this site is for entertainment purposes only. Opinions and comments published on this site may not be sanctioned by and do not necessarily represent the views of CleanTechnica, its owners, sponsors, affiliates, or subsidiaries.