Colorado’s $450 eBike Tax Credit: Act Before It Drops in 2026

Colorado’s eBike Tax Credit Program offers a $450 discount on electric bicycles, making sustainable transportation more accessible for residents. According to the Colorado Energy Office, this initiative has supported over 4,520 Coloradans, distributing $5.4 million in discounts. However, the discount is set to decrease to $225 on January 1, 2026, and state budget constraints may further impact the program’s future. For details on eligible eBikes and how to apply, resources like CyclErie and its tax credit form page can guide residents through the process.

How the eBike Tax Credit Program Works

The program provides a $450 point-of-sale discount on qualifying eBikes at participating retailers, with a limit of one discount per resident annually. Retailers receive a $500 tax credit per sale to incentivize participation. The Colorado Energy Office details the requirements: eBikes must be new, UL-certified (UL 2849, UL 2271, or EN 15194), have a motor of 750 watts or less, and feature fully operable pedals. Eligible models include Class 1, 2, or 3 eBikes, as well as adaptive eBikes, with no price restrictions.

To claim the discount, residents must provide proof of Colorado residency, such as a driver’s license, utility bill, or other document dated within three months of purchase. For unhoused individuals, a letter from a nonprofit or government agency suffices. Retailers like those listed on CyclErie or its tax credit form page streamline the application process.

Why Time Is Limited

Colorado’s state budget faces challenges, with some sources noting a 40% spending increase against less than 10% population growth, putting pressure on programs like the eBike tax credit. Initially funded with $6 million—equivalent to roughly 250 electric vehicle credits—the program is vulnerable to cuts. The Colorado Energy Office has confirmed the discount will reduce to $225 in 2026, and ongoing budget discussions could further limit its scope. Residents seeking the full $450 discount should act before the end of 2025.

Benefits of the eBike Program

The eBike Tax Credit Program supports Colorado’s environmental and economic goals. eBikes produce no emissions, reducing the state’s carbon footprint amid growing climate concerns, as emphasized by initiatives like World First Aid Day. They offer a cost-effective alternative to cars, with lower maintenance and fuel costs, and promote physical activity while alleviating traffic congestion. The program’s inclusive eligibility ensures access for low-income and unhoused residents, fostering equitable transportation options.

Resources for Residents

CyclErie provides valuable resources for navigating the eBike Tax Credit Program, including information on eligible eBikes and participating retailers. Residents can apply for the discount directly through CyclErie’s tax credit form page. The Colorado Energy Office also lists participating retailers and program details to assist with the process.

How to Take Advantage

With the discount set to decrease in 2026, residents should act swiftly:

  • Purchase a qualifying eBike before December 31, 2025, at a participating retailer listed on the Colorado Energy Office or apply via CyclErie’s tax credit form.
  • Contact state legislators to advocate for continued funding, highlighting the program’s environmental and economic benefits.
  • Share information about the program on social media to raise awareness of the impending discount reduction.
  • Explore local cycling initiatives through resources like CyclErie to support sustainable transportation.

Colorado’s eBike Tax Credit Program offers a unique opportunity to invest in sustainable transportation while saving money. To learn more, visit the Colorado Energy Office or CyclErie, and apply for the $450 discount at CyclErie’s tax credit page. Act now to secure the full discount and support Colorado’s sustainable future.

Dan Johnson