Colorado now offers one of the highest state electric vehicle tax credits thanks to a new clean energy law. Colorado taxpayers can take advantage of this credit, which combined with the federal EV tax credit in 2023, can result in even greater savings.
The new law, "Tax Policy that Advances Decarbonization," which was recently signed by Colorado Gov. Jared Polis, aims to encourage the use of clean energy in part by providing several billion dollars in tax incentives. One is a $5,000 state tax credit for qualifying electric cars and up to $12,000 for eligible electric trucks. Colorado will also offer a statewide E-bike tax incentive, among other tax breaks.
