February 29, 2024


This is not a well thought out and polished article, without clever wordplay and perfect pictures to get the point across. I just heard about it, I’ll post it as soon as possible.

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Tax credits are better than tax deductions. The deduction means that, assuming you earn $40,000 a year, you can calculate all allowable deductions from your taxable income after you add up all your earnings.

The tax credit is “up to” $1500, so assume your income bracket requires you to pay 15% income tax. If the income is $40,000, the tax owed is $6,000. If you can lower your taxable income, you’ll pay less overall in taxes. If you qualify for the full $1,500 deduction, your taxes will be calculated on $38,500 instead of $40,000.

At a 15% rate, this would save you $225 in effective taxes. Therefore, you would owe $5,850 instead of $6,000.

Tax Credit Meaning (in this case), you can deduct the full $1,500 of the $6,000 you owe in taxes, which means…you will now owe $4,500 instead of $6,000 (hopefully you The payroll tax withheld matches what you owe, so you “break even” when you pay your taxes).

This is An article by Elektrek on EV tax credits, so the infrastructure is already in place via state and federal forms (click here)

As mentioned, you may get a credit of “up to” $1,500 to cover 30% of the cost of an e-bike. That means you can buy an e-bike that costs $5,000 or more to get the full $1,500 credit.

Of course, the more realistic and common $3,000 e-bike price might mean a $900 tax credit…and a $2,000 e-bike might get you a 30% tax credit on $600.

This is just a tax proposal at this stage, and we can all help make it happen.

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The form I found is here (click here!), it’s simple to fill out, and asks your elected officials to support a 30% tax credit for e-bike purchases.

This tax credit doesn’t exist yet, but if you’ve read this far, it could be a huge boost to e-bikes across the country, even if you already own one.

warn! I’m not a tax lawyer, nor do I play a tax lawyer on TV.

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“…The Electric Bicycle Environmental Incentive Startup (E-BIKE) Act will reduce the cost for consumers of purchasing a new electric bicycle by 30 percent (up to $1,500).

E-bikes have the potential to replace car travel and allow people to get around efficiently and easily, regardless of their age or physical condition. A comprehensive approach to reducing carbon emissions to combat climate change must recognize that e-bikes can take cars off the road and keep people mobile, active and connected to their communities.

Use this page to encourage your representatives to co-sponsor the bill. If your representative has already co-sponsored the bill, we will send a thank you note! …

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By Ron/spinningmagnets, February 2021

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