A tax credit tucked into the Democrats' Build Back Better Act could incentivize Americans to buy electric bikes.
Biden’s Build Back Better bill might be able to save you a decent chunk of change on a new electric bike, as it includes a tax credit for the increasingly popular form of transportation. The US has given plenty of subsidies for electric cars, like a federal income tax credit of up to $7,500 for qualifying vehicles, but this is the first tax credit specifically for e-bikes.
This green alternative for transportation is like a regular bike, but equipped with a battery powered motor to reduce the need for pedaling , making it a bit easier to get to work or a desired destination without working up a sweat.
In some urban spaces, as more bike lanes are added, e-bikes will become more common and become a new generation of commuters. Among them, electric bicycles are equipped with batteries that can support people to ride longer distances and save energy, and can ride 40 miles on a single charge, making current electric bicycles more investment value and more convenient than bicycles in the past. These are just some of the reasons why e-bike tax credits have been included in the Build Back Better bill, which has already passed in the House of Representatives. The E-bike legislation is just a part of the bill, which includes a variety of measures meant to increase adoption of green transportation.
For the most popular technological advancement of the century, lithium-ion batteries have only paved the way for the increased use of electric bikes over the past few years, and this tax credit, if implemented, would be a milestone for this industry. Supporters argue that including these vehicles in the Build Back Better bill is critical to mitigating current climate change, as bicycles can replace some shorter-distance car trips.