Colorado is the first state in the U.S. to offer a statewide electric bicycle tax credit.

All Coloradans can receive a $450 point-of-sale discount on a qualified e-bike purchase from a participating retailer, which must register with the Colorado Department of Revenue. Participating retailers also will receive $50 per qualifying e-bike purchase as an incentive for offering the discount.

The e-bike tax credit was created by HB23-1272 Tax Policy that Advances Decarbonization as a means to save Coloradans money on vehicle travel, help reduce traffic and improve air pollution.

“Transportation is the leading source of greenhouse gas pollution in Colorado, making low-emissions alternatives to cars particularly important to achieve our pollution reduction goals,” Energy Office Executive Director Will Toor said. “E-bikes are a very popular zero-emission transportation option in Colorado, and we’re excited to launch this tax credit to get even more Coloradans out of their cars and onto e-bikes.”

The e-bike tax credit discount follows the successful completion of the statewide, income-qualified e-bike rebate program, which resulted in 5,557 e-bike purchases between August and February.

This state tax credit discount will be available through 2032. More information can be found at Energyoffice.colorado.gov/ebike-tax-credit.