“E-BIKE Act” Proposes Tax Credit for E-Bike purchases

2021-03-18

“Electric Bicycle Incentive Kickstart for the Environment Act” or The E-BIKE Act, H. R. 1019, was introduced on 2/11/2021 to amend the Internal Revenue Code to provide a credit for the purchase of certain new electric bicycles.

The credit would be up to 30% of the cost of any qualified electric bicycle placed in service during the taxable year, up to a maximum of 1 bicycle and $1,500 for individuals, and 2 bicycles and $3,000 for joint return taxpayers, reduced by aggregate credits allowed in the 2 preceding taxable years.

“Qualified electric bicycle” means a two-wheeled class 1, class 2, or a class 3 electric bicycle with a maximum $8,000 price, the original use commences with the taxpayer, that was acquired for use by the taxpayer in the United States and not for lease or resale, and that is not property that can be depreciated or amortized.