E-bike tax credit: is there a federal one in 2026?

You've probably seen "get $1,500 back on your e-bike" in an ad or a forum thread. That number is real, but it comes from a bill, not a law. Here's what Congress has actually done, what the IRS says about deductions, and where real e-bike money is available.

Where the federal e-bike tax credit stands

The idea has been introduced in three Congresses. We checked each bill's record on Congress.gov on November 9, 2026:

Congress	Bill	Introduced	Last recorded action
117th	H.R.1019, E-BIKE Act	Feb 11, 2021	Referred to House Ways and Means
117th	S.2420, E-BIKE Act	Jul 21, 2021	Referred to Senate Finance
118th	H.R.1685, E-BIKE Act	Mar 21, 2023	Referred to the Subcommittee on Work and Welfare (Dec 17, 2024)
118th	S.881, E-BIKE Act	Mar 21, 2023	Referred to Senate Finance
119th	H.R.6900, American Affordability Act of 2025 (e-bike credit in Sec. 23005)	Dec 18, 2025	Referred to Ways and Means and two other committees

None of these became law. A bill that isn't passed by the end of its two-year Congress dies, so the 117th and 118th versions are gone. We searched the Government Publishing Office's bill collection and found no standalone "E-BIKE Act" filed in the 119th Congress (2025–2026). The live proposal is the e-bike section folded into H.R. 6900.

What H.R. 6900 would do (if it passed)

The bill text on GovInfo adds a new credit for "qualified electric bicycles." In short:

• 30% of the cost, with no more than $5,000 of cost counted per bike. That caps the credit at $1,500 per bike.
• One bike per taxpayer, two on a joint return, reduced by any bikes claimed in the two prior tax years.
• An income phaseout. The credit drops by $100 for every $1,000 of modified AGI over $150,000 (single), $225,000 (head of household) or $300,000 (joint).
• Bike rules. New, not for resale, $8,000 or less, Class 1, 2 or 3, with fully operable pedals, a seat and a motor under 750 W. It also requires a drive system certified to UL 2849 or a battery certified to a standard UL 2849 lists (see our UL 2849 explainer).
• No speed workarounds. The bike can't be able to exceed its class speed limit through any switch, setting or software the maker provides.
• A bike VIN. The bike would need an identification number from a maker that signs an agreement with the Treasury, and you'd put that number on your return.

That's the proposal, not the law. Bills change in committee, and this one hasn't had a committee vote. Don't hold off on a purchase because of it.

Are e-bikes tax deductible?

For most people, no. A bike you buy to ride to work, run errands or ride for fun is a personal purchase, and personal purchases generally aren't deductible. Here's what the IRS says about the two situations people ask about most:

• Commuting. IRS Publication 463 says travel between your home and your main or regular place of work is a personal commuting expense. Riding an e-bike to the office doesn't change that.
• Employer bike-commuting reimbursements. These used to be a tax-free fringe benefit. That benefit was suspended for 2018 through 2025, and IRS Publication 15-B now says P.L. 119-21 permanently eliminates the exclusion of qualified bicycle commuting reimbursements for tax years beginning after 2025. So in 2026 and later, a bike reimbursement from your employer counts as income to you.

Business use is a different question. If you run a delivery business, a courier service or a shop that uses e-bikes, the rules for business property and depreciation may apply. They hinge on your situation, records and how much of the use is business versus personal. For cars, Publication 463 says you split expenses between business and personal use. Whether and how something like that applies to your bike is a question for a tax professional, not for us.

The real alternative: state and local rebates

With nothing at the federal level, the money is in states, cities and utilities. These programs usually take one of three forms:

• A point-of-sale discount at a participating shop. Colorado runs this as a tax credit for retailers. The Colorado Energy Office says residents get $225 off a qualified e-bike at a participating retailer, limited to one discount per calendar year, and the retailer claims a $250 tax credit. You pay the full sales tax yourself.
• A voucher you apply for before you buy. Connecticut's CHEAPR program worked this way. Its last round closed in 2024 (see our Connecticut e-bike rebate guide).
• A rebate after purchase, often from an electric utility. You pay full price and claim money back with your receipt.

Many programs have income tiers, limited funding windows or lotteries, and most require you to live in the area. Some only pay out at participating local shops, which matters if you planned to buy online. Our e-bike rebates page lists each program with its status, amount and a link to the official page, and shows the date we last checked it.

A few habits that save you from losing out:

1. Check before you buy. Many programs, Connecticut's included, refuse to pay for a bike bought before you're approved.
2. Check the bike list. Programs often require a price cap, a warranty or a safety certification such as UL 2849.
3. Sign up for the program's email list. Funding windows can be short.

FAQ

Is there a tax credit for electric bikes? Not at the federal level as of November 9, 2026. Some states and cities offer rebates or point-of-sale discounts instead. See /rebates/.

Did the E-BIKE Act pass? No. The 2021 and 2023 versions died in committee. A similar credit is in H.R. 6900 (119th Congress), which has been sitting in committee since December 18, 2025.

Are electric bikes tax deductible? Not as a personal purchase. Business use is a separate question to take to a tax professional.

How much would the proposed e-bike tax credit be? Under H.R. 6900's text: 30% of the cost, counting no more than $5,000 per bike, so up to $1,500, with income limits.

Can my employer reimburse my bike commute tax-free? Not for tax years beginning after 2025. IRS Publication 15-B says the exclusion for qualified bicycle commuting reimbursements has been permanently eliminated.