It passed at 11:38 pm on the 20th of May 2023! However the application is not yet availible. But the Transportation bill did pass on May 20th. Please call the shop with questions or to get on our email list for instant updates. Be among the first to sign up for and take advantage of the MN state Tax rebate.
The Available funds will be allocated on a first come first serve basis starting on July 1st 2024. Ahe funds are not expected to last long so the sooner the better. That said, If you fill out your application that 1st week of July there’s a good chance you will get to take advantage of the situation.
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Click below to go to the State's Website and find the application when it becomes availible
My best guess is the application will be releaced on July 1st 2024 at 12:01 at the link below... GoodLuck everyone. Let us know if we can help
Tax Law Changes | Minnesota Department of Revenue (state.mn.us)
Call Now! (952) 758-4673 or mobile (952) 994-3642
Here it is in raw form... further down the page I asked Chat GPT to sum it up in a few hundred words.
[289A.51] ELECTRIC-ASSISTED BICYCLE REBATE.
Subdivision 1.Definitions.
(a) For purposes of this section, the following terms have the meanings given.
(b) "Electric-assisted bicycle" has the meaning given in section 169.011, subdivision 27, except that the term is limited to a new electric-assisted bicycle purchased from an eligible retailer.
(c) "Eligible expenses" means the amount paid for an electric-assisted bicycle and any qualifying accessories purchased at the same time as the electric-assisted bicycle, inclusive of sales tax but exclusive of any other related charges, including charges for a warranty, Service, or delivery.
(d) "Eligible individual" means an individual who:
(1) is at least 15 years old;
(2) is a resident individual taxpayer at the time of application for a rebate certificate and in the previous calendar year; and
(3) was not claimed as a dependent on another return in the taxable year described in
subdivision 3, paragraph (c).
(e) "Eligible retailer" means a person who has engaged in the business of retail sales of new electric-assisted bicycles for at least six months prior to receiving the approval of the commissioner under subdivision 5.
(f) "Qualifying accessories" means a bicycle helmet, lights, lock, luggage rack, basket, bag or backpack, fenders, or reflective clothing.
Subd. 2.Rebate established. An eligible retailer that has been assigned a rebate certificate by an eligible individual may apply to the commissioner for a rebate, as provided in this section.
Subd. 3.Amount of rebate. (a) The amount of a rebate under this section equals the lesser of:
(1) the applicable percentage, multiplied by the amount of eligible expenses paid by an eligible individual; or
2) $1,500.
(b) The applicable percentage equals 75 percent, but is reduced by one percentage point until the percentage equals 50 percent, for each $4,000 of the eligible individual's adjusted gross income in excess of:
(1) $50,000 for a married taxpayer filing a joint return; and
(2) $25,000 for all other filers.
(c) For the purposes of determining the applicable percentage under paragraph
(b) and subdivision 4, paragraph (a), the commissioner must use the eligible individual's adjusted gross income for the taxable year ending in the calendar year prior to the year in which the individual applied for a rebate certificate.
Subd. 4.Commissioner to issue rebate certificates. (a) To qualify for a rebate under
this section, an eligible individual must apply to the commissioner for a rebate certificate in the manner specified by the commissioner prior to purchasing an electric-assisted bicycle. As part of the application, the eligible individual must include proof of the individual's adjusted gross income for the taxable year specified in subdivision 3, paragraph.
(c). The commissioner must issue a rebate certificate to an eligible individual stating the issuance date, the applicable percentage, and the maximum rebate for which the taxpayer is eligible. For a married taxpayer filing a joint return, each spouse may apply to the commissioner separately, and the commissioner must issue each spouse a separate rebate certificate.
(b) The commissioner of revenue may determine the date on which to open applications for a rebate certificate, and applications must not be submitted before the date determined by the commissioner. Beginning July 1, 2024, and July 1 of each subsequent calendar year for which there is an allocation of rebate certificates, the commissioner must allocate rebate certificates on a first-come, first-served basis. The commissioner must reserve 40 percent. of the certificates for a married taxpayer filing a joint return with an adjusted gross income of less than $78,000 or any other filer with an adjusted gross income of less than $41,000. Any portion of the reserved amount under this paragraph that is not allocated by September 30 is available for allocation to other rebate certificate applications beginning on October 1.
(c) The commissioner must not issue rebate certificates totaling more than $2,000,000 in each of calendar years 2024 and 2025, except any amount authorized but not allocated in any calendar year does not cancel and is added to the allocation for the next calendar year. When calculating the amount of remaining allocations, the commissioner must assume that each allocated but unclaimed certificate reduces the available allocations by $1,500.
(d) A rebate certificate that is not assigned to a retailer expires two months after the date the certificate was issued and may not be assigned to a retailer after expiration. The amount of any expired rebate certificates is added to the available allocation under paragraph
(c).Subd. 5.Certification of eligible retailers. To be eligible to be assigned a rebate certificate under this section, an eligible retailer must apply to the commissioner of revenue to be certified as an eligible retailer in the manner specified by the commissioner. The application must include proof that the person applying has been actively involved in the business of retail sales of new electric-assisted bicycles for at least six months.
Subd. 6.Application for rebate.
(a) An eligible individual who purchases an electric-assisted bicycle may assign a rebate certificate to an eligible retailer at the time of purchase. The retailer must reduce the price of the electric-assisted bicycle by the amount of the rebate determined under subdivision 3.
(b) The commissioner must establish the form and manner by which a taxpayer may assign a rebate certificate to a retailer. The commissioner must establish a process through which retailers may quickly verify the validity of a rebate certificate at the time of purchase.
(c) An eligible retailer that was assigned a rebate certificate may apply to the commissioner for a rebate within one month of the date of the sale. The application must be in the manner specified by the commissioner. The commissioner must pay to an eligible retailer who meets the requirements of this section the amount of the rebate determined under subdivision 3.
(d) Only an eligible retailer may apply for a rebate under this subdivision. To receive the benefit of a rebate under this section, an eligible individual must assign a rebate certificate to an eligible retailer.
(e) A rebate certificate under this section must not be assigned or transferred more than once.
(f) The commissioner must not pay any rebates under this section after June 30, 2026.
Subd. 7.Limitations. (a) The commissioner must not issue an eligible individual a rebate certificate more than one time. This limitation does not apply to a rebate certificate that expired.
(b) If an eligible individual purchases an electric-assisted bicycle using a rebate under this section and returns the bicycle to an eligible retailer, the eligible retailer must repay to the commissioner the amount of the rebate received.
(c) The commissioner must not issue a rebate certificate to an eligible individual who is subject to a claim for a refund under chapter 270A.
(d) For electric-assisted bicycles purchased using rebates under this section:
(1) an eligible retailer must charge the same retail price for an electric-assisted bicycle as the retailer charges for the same bicycle if it is purchased without a rebate; and
(2) an eligible retailer must not charge a retail price in excess of the manufacturer's suggested retail price.
Subd. 8.Appropriation. $4,000,000 in fiscal year 2024 is appropriated from the general fund to the commissioner to implement the requirements under this section, including but not limited to administration and payment of refunds. This is a onetime appropriation and is available until June 30, 2026.
Subd. 9.Sunset. This section expires June 30, 2026. The expiration of this section does not affect the commissioner's authority to audit or power of examination and assessment for rebates claimed under this section.
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In short what this says is...
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The first section begins by defining various terms related to the rebate program. An "electric-assisted bicycle" is defined as a new electric bicycle purchased from an eligible retailer. "Eligible expenses" include the cost of the electric-assisted bicycle and qualifying accessories purchased at the same time. An "eligible individual" is someone who is at least 15 years old, a resident individual taxpayer, and not claimed as a dependent on another person's tax return.
The new bill establishes the rebate program and specifies the amount of the rebate. An eligible retailer can apply for a rebate after being assigned a rebate certificate by an eligible individual. The rebate amount is calculated as the lesser of the applicable percentage multiplied by the eligible expenses or $1,500. The applicable percentage starts at 75% and decreases by one percentage point for every $4,000 of the individual's adjusted gross income above certain thresholds.
To qualify for a rebate, an eligible individual must apply to the commissioner of revenue for a rebate certificate before purchasing the electric-assisted bicycle. The commissioner issues a rebate certificate stating the issuance date, applicable percentage, and maximum rebate amount. Applications for rebate certificates are opened on a specified date and allocated on a first-come, first-served basis. A portion of the rebate certificates is reserved for taxpayers with lower adjusted gross incomes. Any unallocated certificates are made available for other applications at a later date.
The new bill sets a limit on the total rebate certificates issued each year and specifies that expired certificates add to the available allocation. To be eligible for a rebate certificate, an eligible retailer must apply to the commissioner for certification, providing proof of at least six months' involvement in retail sales of new electric-assisted bicycles.
Once an eligible individual purchases an electric-assisted bicycle, they can assign the rebate certificate to an eligible retailer, who then reduces the price of the bicycle by the rebate amount. The taxpayer must assign the certificate to the retailer at the time of purchase. Retailers can verify the validity of the rebate certificate during the transaction. The eligible retailer can apply to the commissioner for the rebate within one month of the sale.
The new bill includes limitations such as issuing only one rebate certificate per eligible individual, repayment by retailers if the bicycle is returned, and restrictions on pricing. The commissioner is not allowed to issue rebates after June 30, 2026.
Finally, the new bill appropriates $4,000,000 from the general fund for the fiscal year 2024 to cover the implementation and administration of the rebate program. The section is set to expire on June 30, 2026, but the commissioner retains the authority to audit and assess rebates claimed under the section even after its expiration.
Nationwide Tax Incentive Information
Minnesota's Future Ebike Rebate/Tax Incentive is in the works and should be passed in the very near future. We are closely following the legislation. And we are well prepared to help our customers save up to 75% on an Ebike from Ron’s Cycle Shop.
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Here at Ron’s Cycle Shop we will guide you through the Ebike tax incentive process. After professional assembly, tuning, and delivery, we just apply the certificate or code given to you by the state like a discount to your order. And you ride away on your new E Bike.
If you want to be on the top of the list of future Minnesota Residents who will benefit from the state rebate on Ebike purchases, please reach out via our contact tab on the website or give us a call at the shop, and we will add you to the list. Get in touch to start the process. We will be updating the status of this bill here when changes occur, so check back often and don’t miss your chance at substantial discounts on some of our best hard tail Ebikes and Commuter Ebikes.
Currently, there is no way to qualify for an incentive in Minnesota because the policy has not yet been written into law. However, the planned bill is modeled after a similar Colorado bill, among many other states and cities throughout the United States. I do expect our future Minnesota State Ebike Rebate Process to be very similar to theirs.
See the details on Denver.gov, a summary is given below.
In the State of Colorado and capitol city of Denver, here’s how theirs process works. Right on the Denver.gov site is a bold link to sign up for the program. The questionnaire will group you based on the income and socioeconomic data provided and then generate a unique code that only works for you. Last year in Colorado the money was released in waves, making more money available throughout the summer and fall.
Our Summary of current State, City and County E-Bike Rebates/Tax Credits
California
California Statewide: The California Bicycle Coalition recently received a $10 million grant to create California’s E-Bike Affordability Program. CalBike is working with the California Air Resources Board and expects the program to help 10,000 Californians purchase e-bikes starting in late 2022. Learn more.
Central Coast (Monterey, San Benito & Santa Cruz counties, and parts of San Luis Obispo & Santa Barbara counties): Central Coast Community Energy customers can receive a 50% rebate up to $500 for purchasing an electric bike, and 75% up to $1000 for low income residents through The Electrify Your Ride Resident Program. You must purchase your e-bike by Nov. 15, 2022 and complete an online application to receive this incentive. Learn more.
Contra Costa County: Buy a new e-bike and apply for up to $300-worth of savings through this program funded by the Bay Area Air Quality Management & Contra Costa Transportation Authority. This rebate applies to Class 1, 2 and 3 e-bikes and is based upon your household income. Be sure to apply within six months of purchasing your new e-bike to take full advantage of this rebate! Learn more.
Heldsburg: The city provides a rebate of $50-$700 on qualified e-bike purchases to Heldsburg Electric customers. The customer must intend to replace some of their car miles with e-bike miles in order to qualify. Be sure to apply within 12 months of purchasing your new e-bike to take advantage of this rebate! Learn more.
Los Angeles, Orange, Riverside, and San Bernardino Counties: The Replace Your Ride incentive allows residents to trade in their car for a cleaner alternative, like an e-bike, and receive up to $9,500 to cover the cost of purchase. Residents must meet income criteria and their vehicle must qualify to be replaced. Learn more.
Monterey: The Monterey Bay e-Bike Incentive Program is for low-income residents of Monterey, San Benito and Santa Cruz Counties. Eligible applicants can receive a post-purchase rebate of $500-$1,000. Applicants must purchase an e-bike from a local qualified store and apply to be considered. Learn more.
Oakland: The Electric Bike Lending Library is set to kick off in late 2022 providing 500 e-bikes for long or short term rental at a low cost to low income Oakland residents. More information will be coming later this month. Learn more.
San Diego: The Pedal Ahead Program loans electric bikes to qualified applicants until they complete the program within two years. Participants must ride at least 1,800 miles per year or 150 miles per month, tracking their mileage on Strava and obtain bike insurance. After they meet these milestones, they are given the e-bike for free. If they do not meet the mileage, the participants are offered the e-bike at a prorated discount. Learn more.
Santa Barbara: The EZBike Project allows locals to loan an e-bike to incentivize more residents to incorporate biking into their lifestyles. Participants must be Santa Barbara residents and be 16 years or older. Reservations are required and open every month. Learn more.
Santa Clara: Silicon Valley Power offers e-bike rebates around 10% of the pre-tax cost of an e-bike and offers additional money for income-qualified applicants. In order to receive this rebate, you must be a Silicon Valley Power customer and submit an application within 60 days of purchasing an e-bike. Learn more.
Santa Cruz: The GO Santa Cruz E-Bike Rebate program offers $800 to low-income qualified residents and $400 to non-low income residents. You must first apply to the program, watch the Bike Safety Training video and complete a quiz & survey. After that, you’ll receive a rebate voucher via email to be redeemed at participating electric bike stores. Learn more.
San Francisco Bay Area: Clean Cars for All gives low income residents of the Bay Area $7,500 to turn in old, polluting cars and replace them with an e-bike or other electric vehicle. The grant also includes the cost of accessories such as a helmet, bike lock, horn and more! Plus, multiple members of the same household can purchase additional e-bikes until they reach the $7,500 threshold. Residents must live in a qualifying zip code, have an income at or below 400% of the Federal Poverty Line, and complete an application to be awarded this grant. Learn more.
San Gabriel Valley: ActivateSGV along with the local city council are in the process of creating a lending library of cargo e-bikes and all-purpose e-bikes later this year. Learn more.
Colorado
Colorado Statewide: The Colorado Legislature recently passed Air Quality Improvement Investments designating $12 million to local governments, tribal governments and nonprofits who wish to start electric bike sharing or ownership programs. This bill also includes e-bike rebates for low to moderate income families. Learn more.
Avon: Get up to $200 when you purchase a new e-bike valued at $1,000 or more! And if you purchase a used e-bike you can receive a rebate of up to $100. Avon residents must use the e-bike to replace car trips and apply for this rebate within 180 days of purchasing an e-bike. Learn more.
Boulder: Set to end in late August 2022, the Community Cycles E-Bike Program is a two-year loan to own program for Boulder County workers. Workers must be essential employees looking to use their e-bikes to commute to work, and as their main vehicle. A $250 fee must be paid in full to receive an e-bike and participants must share riding data via app with Community Cycles Staff. After two years of participation, the e-bike is yours to keep. Learn more.
Denver: Save up to $1,700 on an e-bike purchase when you apply for this rebate through the City of Denver. E-bikes must be purchased new through a participating local bike shop. An additional $500 is given for those purchasing a cargo e-bike. Learn more.
The City of Denver additionally offers 30 e-bikes for rent in select low-income neighborhoods. Residents can check out an e-bike for their personal needs and return it at three different locations. Learn more.
Edwards: Residents looking to replace their commutes to work with an e-bike , and other car trips with an electric bike, can receive a rebate of up to $200. The cost of the e-bike must be more than $500 in order to qualify. Be sure to apply within 6 months of purchasing a new e-bike to take advantage of this rebate! Learn more.
Glenwood Springs, Eagle, Pitkin, Garfield, Mesa, and Gunnison Counties: Locals looking to offset their car miles with e-bike miles can get a rebate of $50 when they purchase a new electric bike for commuting to work or running errands. To qualify, applicants must be a Holy Cross Energy customer and the rebate is limited to 2 e-bikes per household. Learn more.
Granby: Mountain Parks Electric gives members rebates up to 25% of the cost of the e-bike (no more than $150) when you email them a receipt of purchase. Be sure to submit the receipt within 90 days of purchasing your e-bike. Learn more.
Gunnison: Members of the Gunnisson County Electric Association are eligible for post-purchase rebates on their e-bike up to 25% of the cost, capping out at $150. Simply apply through their website with a copy of your e-bike receipt. Learn more.
La Plata, Archuleta & Nearby: The La Plata Electric Association offers $300 e-bike rebates to members who purchased an e-bike within the last 90 days. The rebate will not exceed 25% of the cost of the e-bike and members must apply to receive the rebate. Learn more.
Connecticut
Connecticut Statewide: The Connecticut Clean Air Act, passed into law May 2022, expands the Connecticut Hydrogen and Electric Automobile Purchase Rebate, or CHEAPR, to now include $500 rebates for electric bikes. Income qualifications will apply and the e-bikes must cost $3,000 or less. Learn more.
The Connecticut Assembly proposed a bill that would give personal tax credit to state residents for purchase of an e-bike. The credit ranges from $250-$1,000 depending on household income. The bill is currently being reviewed by the Committee on Finance, Revenue, and Bonding. Learn more.
Hawaii
Hawaii Statewide: The Hawaii legislature recently passed a bill giving a 20% e-bike rebate to residents, up to $500. This bill is now with the governor’s office to sign into law. Learn more.
Iowa
Eastern Iowa: The Eastern Iowa Light & Power Cooperative offers a post-purchase rebate of 25%, up to $150, to members who purchase an e-bike. The application along with proof of purchase must be submitted within 180 days of buying your electric bike. Learn more.
Massachusetts
Massachusetts Statewide: The Massachusetts state legislature proposed an electric bike rebate between $500-$750 depending upon income status to residents. This bill is currently in discussions with the Joint Committee on Telecommunications, Utilities and Energy. Learn more.
Worcester: The Accelerating Clean Transportation for All Program is in the process of giving e-bikes to low income residents for two years as part of a loan to own program. The program will give about 100 e-bikes to locals and will train them on riding safely. Learn more.
New York
Bronx & Brooklyn: The Equitable Commute Project strives to make micomobility more available to frontline Bronx & Brooklyn essential workers. This project will provide up to 5,000 bikes to New Yorkers who will use the bike to commute to work. Learn more.
Buffalo & Niagara Falls: East Side Bike Club and Create a Healthier Niagara Falls Collaborative rent free e-bikes to community members as part of an e-bike library. These programs are dedicated to making biking more available in underserved communities and offering group rides to promote biking as another form of exercise. Learn more.
New York Statewide: The New York State Energy Research & Development Authority is working on a Ride Clean e-bike program that would offer a 50% rebate on e-bike purchases, up to $1,100. This program expands on the current Drive Clean rebate program for electric cars and was introduced as a bill this year in the New York Assembly. Learn more.
Oklahoma
Oklahoma Statewide: Currently sitting in the Oklahoma State Legislature is a proposed bill to give a $200 tax credit to qualifying new e-bike purchases. Learn more.
Oregon
Ashland: Ashland Electric Utility customers can take advantage of a $200-$600 e-bike rebate when you apply. Rebate amount depends on the type of bike purchased and where the bike is purchased from. Be sure to apply within 180 days of purchasing your new e-bike. Learn more.
Benton/Corvallis County: Residents can qualify for up to $1,200 rebate when purchasing an e-bike from a local, participating bike shop.Those wishing to take advantage of this rebate must first apply. Learn more.
Eugene: EWEB Customers can receive a $300 e-bike rebate to help offset emissions and to support active transportation options. Be sure to apply within 180 days of purchasing your e-bike. Learn more.
Texas
Austin: Austin Energy customers offers up to a $300 e-bike rebate for qualifying purchases. The amount of the rebate depends on the cost of the electric bike and can only be applied to bikes purchased through Austin Energy’s approved dealer list. Be sure to submit an application within 60 days of purchase. Learn more.
Vermont
Barton Village, Village of Enosburg Falls, Hardwick Electric Department, Village of Johnson, Village of Jacksonville, Ludlow Electric Light Department, Lyndonville Electric Department, Morrisville Water & Light Department, Northfield Electric Department, Village of Orleans, or Swanton Village: Receive a $100 rebate for purchase of an e-bike or retrofit kit through the Vermont Public Power Supply Authority. VPPSA customers can simply complete their online form and submit proof of purchase and the bike’s serial number to get this after-purchase rebate. This program is set to expire at the end of 2022. Learn more.
Burlington: Burlington residents are eligible for a $200 rebate on e-bikes purchased from either a local store or online retailer. To receive the discount from a local store, bring your ID and a piece of mail with your address on it to the Burlington Electric Department to receive a coupon for $200 off. If you purchased online, you must submit an application after you purchase in order to get the rebate. This program is set to expire December 31, 2022. Learn more.
Burlington, Brattleboro, Montpelier, Upper Valley & Other Cities: Local Motion & other statewide partners offer e-bike libraries throughout the state to those looking to try out an e-bike for free. E-bikes must be reserved in advance and can typically be rented Thursday-Monday. Learn more.
Colchester & Surrounding Areas: Green Mountain Power customers looking to switch car miles for e-bike miles can save $200 on an e-bike purchased from a local retailer. Customers must show a GMP energy statement, account number and address within the GMP territory at time of purchase to take advantage of this rebate. Learn more.
Stowe: The Stowe Electric Department offers customers a $200 post-purchase rebate on a Class 1 e-bike purchase. Simply fill out the online application and submit a receipt to receive these savings. Learn more.
Washington Electric Coop Service Areas: WEC members can receive up to a $200 rebate for an in-state e-bike purchase. This program is set to expire at the end of this year. Learn more.
Vermont Statewide: The Vermont State Legislature is currently reviewing a bill that gives a $200-$400 rebate to e-bike purchasers depending upon income. The bill is sitting with the Committee on Transportation. Learn more.
Washington
Washington Statewide: A proposed bill to exempt sales tax from e-bike purchases and up to $200 in e-bike accessories is currently in the Washington Legislature’s House. The bill is a pilot to see if sales tax incentives can increase e-bike sales within the state. Learn more.
Gov. Jay Inslee also proposed a $1000 tax credit for e-bike purchases in a bigger $100 million proposal to expand incentives for purchasing EVs in Washington. This proposal is being reviewed by House and Senate legislators. Learn more.
United States
Double-takes at astronomical gas prices are very common these days. With no cooling-off in sight, finding a cost-friendly alternative to driving a car is a MUST this Summer! Lucky for you, electric bikes are the answer to all your gas pump woes. With more Americans going green and looking to save in the process, states and cities are stepping up with tax credits and e-bike rebates to help consumers save EVEN MORE when purchasing a new e-bike. Check out our updated 2022 guide to the electric bike rebates and tax credits currently offered for how to claim e bike tax credit in your area!
If you haven't found any financial e-bike incentive programs in your city or state, don't lose hope. There is pending legislation with the Build Back Better bill that would provide a nationwide tax credit to e-bike purchasers. The proposed legislation would give up to a $900 tax credit to Americans purchasing an eligible electric bike. There is an income cap on eligibility for the program, and e-bikes over $4,000 wouldn't quality for rebates and e-bike incentives. Learn more.