Overview
A State of Colorado e-bike tax credit will be available to Coloradans starting on April 1, 2024. After this date, Coloradans will get a $450 discount off of a qualifying e-bike purchase (at the point-of-sale) from a participating retailer across the state. Not all retailers are participating; please check with retailers to see if they are participating and offering the $450 discount.
How it Works
All people living in Colorado are able to get the Colorado e-bike tax credit discount. E-bike purchasers who buy a qualified e-bike at a participating retailer (see Participating E-bike Retailers section below) will automatically receive the discount.
Each person living in Colorado may receive the discount on the purchase of one (1) e-bike from a participating retailer each calendar year. The purchaser is responsible for paying the full sales tax on the bike, even if the discount exceeds the bike’s price.
Proof of a physical Colorado address is required at the time of purchase. All documents must be dated within three months of the e-bike date of purchase. Acceptable proof of address documents include:
- Current valid Colorado Driver’s License or ID
- Computer-generated bill (utility, credit card, doctor, hospital, etc.)
- Printed bank statement
- Pre-printed pay stub (from a period within the last 3 months)
- First-class mail (from a government agency or court)
- Current homeowner's, renter's, or motor vehicle insurance policy
- Mortgage, lease, or rental contract
- Transcript or report card from an accredited school
- Motor vehicle registration
- USPS Change of Address Form CNL107
- DD Form 214
If you are unhoused in Colorado and receiving services from a government agency or non-profit organization, a dated letter on the organization's letterhead stating your situation may be accepted in place of one of the above documents.
Eligible E-Bikes
Not all e-bikes available on the market are eligible for the e-bike tax credit discount. Please check with the retailer to confirm the e-bike you are purchasing meets the following requirements to qualify for the discount:
- Must meet independent UL certification standards. The e-bike must be certified to UL 2849, UL 2271, or EN 15194. E-Bikes that are UL-certified typically have a UL certification logo on the bike battery.
- Must be a new e-bike.
- Must have an electric motor that is 750 watts or less and must not be gasoline-powered.
- Must have two or three wheels and fully operable pedals.
- May be any class of e-bike (per the State of Colorado e-bike definition). Includes:
- Class 1: an electrical assisted bicycle equipped with a motor that provides assistance only when the rider is pedaling and that ceases to provide assistance when the bicycle reaches a speed of 20 mph.
- Class 2: an electrical assisted bicycle equipped with a motor that provides assistance regardless of whether the rider is pedaling but ceases to provide assistance when the bicycle reaches a speed of 20 mph.
- Class 3: an electrical assisted bicycle equipped with a motor that provides assistance only when the rider is pedaling and that ceases to provide assistance when the bicycle reaches a speed of 28 mph.
- May be an adaptive e-bike.
- No minimum purchase price; no maximum purchase price.
E-Bike Standards
The Colorado Energy Office (CEO) gathered stakeholder feedback November 2023 - January 2024 and established e-bike standards for eligible e-bikes that qualify for the State of Colorado e-bike tax credit.
Based on feedback received, CEO has determined that all e-bikes must meet independent UL certification standards, including UL 2849 and/or UL 2271. The similar European standard, EN 15194, is also acceptable. These standards will be updated yearly.
Participating E-Bike Retailers
Use the map and/or the list of participating retailers below to find an e-bike retailer near you. Please note that the list is self-reported and is not comprehensive; if a retailer is not listed, please check with the retailer to see if they are participating and offering the $450 discount. We will continue to add retailers to this list as retailers register to participate and self-report their participation.
Become an E-Bike Retailer
Qualified Retailers:
- Must register with the Department of Revenue (DOR) via their Revenue Online account (see the DOR e-bike tax credit webpage for more information)
- Must sell qualified e-bikes
- Must hold a State of Colorado sales tax license
- Must have filed, in a timely manner, a monthly sales tax return showing a tax liability for at least 12 months
- Must have paid the taxes due on the monthly sales tax return
Once you have registered with DOR, please complete the form below to be added to CEO’s published list of participating retailers.
Public participating retailer list sign-up form
Retailers will collect an affidavit form (to be supplied by the Department of Revenue) from each customer receiving the discount and will submit the affidavits with a quarterly report to the Department of Revenue.
In the first year of the program (2024), participating retailers will be unable to collect advanced payments of the credit. CEO recognizes that this may present a hardship for some retailers and has reached out to lenders about possible loan options for the first year.
The Colorado Enterprise Fund (CEF) is available for e-bike retailers needing financing support for their businesses. CEF offers fair, flexible, fixed rate financing to Colorado businesses who would not otherwise qualify for traditional bank financing.
Learn more about the Colorado Enterprise Fund
Additionally, ANB Bank specializes in fulfilling flexible and tailored solutions for business borrowers. Their local bankers are knowledgeable and are there to assist you from start to finish. Contact ANB Bank today! Member FDIC.
Please reach out to Sarah Thorne, sarah.thorne@state.co.us, to connect with CEF or ANB Bank.