Good news for all you electric motorcycle riders that live in the US! The federal tax credit that was issued for new electric bike models at the end of 2019 has been extended until 1st January of 2022!
What does this mean for fellow electric motorcycle riders? First of all, you can get a 10% tax credit for any electric motorcycle with a minimum speed of 45 mph (or 72 km/h). The maximum tax credit amount you can get is $2,500 though.
Keep in mind that this tax return scheme doesn’t apply to electric mopeds and similar vehicles.
For example, if you buy a Harley-Davidson LiveWire, which has a starting price of $29,799, you will get less than 10% tax credit. Still, $2,500 is a nice amount that you can utilize in many different ways.
Another thing of note is that there is another federal tax credit extension for old and new electric motorcycle owners. The 30% EV charger installation tax credit got the same extension too. For this year, you are qualified to get a maximum credit of $1,000 for home installations and a maximum credit of $30,000 for business installations made on new EV chargers.
As the electric motorcycle industry is slowly growing and is expected to grow even more due to emission regulations, these tax credit options are an excellent way to encourage more riders to switch to the electric engines.
Actually, this extension is a direct consequence of a plan made by the Biden Administration that aims to regulate the number of federal gas-powered vehicles – as the federal government vehicle formation consisted of approximately 650,000 vehicles.
There are plans to make further tax return considerations for electric vehicles which are still not publicly known. Still, it will be interesting to see if this can help push the electric vehicles to regular consumer market.
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Source: Ride Apart