The move comes as electric bicycles sales continue to grow<\/a>, making the alternative form of transportation an increasingly popular option as a car replacement. <\/p>\n That led several members of the US congress to propose a tax credit earlier this year <\/a>to help reduce the cost of e-bikes, which are several times more expensive than pedal bicycles.<\/p>\n Congress has been chewing away at the proposed legislation, with the House of Representatives recently cutting the incentive from 30% to 15%.<\/a><\/p>\n Now President Biden\u2019s \u201cBuild Back Better\u201d<\/a> proposal has restored the proposed incentive back to its full 30%. It would be capped at a maximum incentive of $1,500, and would only apply to electric bicycles priced under $8,000 (which is the vast majority of all e-bikes).<\/p>\n A phase-out schedule is included based on income level. The credit would begin phasing out for taxpayers earning over $75,000, though that figure increases to $112,500 for heads of household and $150,000 for married couples who file jointly.<\/p>\n There\u2019s still a ways to go before the e-bike tax credit could become law, but this is certainly promising news for those that have hoped to buy an e-bike as an alternative to car trips.<\/p>\n The proposed tax credit has been designed to help Americans that may not otherwise be able to afford the cost of an electric bicycle.<\/p>\n While several models of e-bikes can be found for under $1,000<\/a>, most popular e-bikes cost several thousand dollars.<\/p>\n Even though e-bikes are expensive compared to pedal bicycles, many riders have discovered that they ultimately saved a significant amount of money by switching from a car to an electric bicycle. In one case<\/a>, a woman in San Fransisco saved around $50,000 over several years by entirely switching from a car to an electric bicycle.<\/p>\n Most commuters who don\u2019t live in a densely packed urban area will likely find it difficult to completely replace a car, but electric bicycles are still useful for many local trips that don\u2019t require a full-size vehicle. And with electric cargo bikes<\/a> that can carry several children or a week\u2019s worth of groceries, more riders are discovering that a full-size vehicle might not be as necessary as they once thought.<\/p>\n![\"\"](\"https:\/\/electrek.co\/wp-content\/uploads\/sites\/3\/2021\/07\/blix-updates-header.jpg?quality=82&strip=all&w=1000\" "\\"Proposed")