Colorado Likely to Extend $6,000 Plug-In Vehicle Tax Credit to 2021

4 years ago by Eric Loveday 12

Chevrolet Volt

Chevrolet Volt

Colorado’s alternative-fuel vehicle tax credit is one of the most lucrative in the nation.  At up to $6,000, Colorado bets BIG on the changing automotive landscape.

LEAFs Lined Up at the Ready for That $6,000 Credit

LEAFs Lined Up at the Ready for That Credit

Now, the Centennial State is readying a bill that takes that bet to the extremes.

A proposal to extend Colorado’s tax credit out to 2021 was approved last Friday by a 40-21 vote in the state’s House of Representatives.

The bill (HB 1247), which would keep in place the existing tax credits of up to $6,000 per vehicle, is now on its way to the Senate.

Plug-in hybrid vehicles, as well as pure electrics, are eligible for up to $6,000 in tax credits in Colorado.  Both the Nissan LEAF and Chevy Volt qualify, but for different amounts.

Some vehicles qualify for unusual amounts and it’s rather tricky to make sense of Colorado’s eligibility requirements, but a full rundown of eligible vehicles and the credit they receive can be found by clicking here (PDF).  Note: Link contains 2012 eligibility.  2013 figures will be adjusted, but are not yet available.

Prior to the introduction of HB 1247, Colorado’s tax credit for alternative-fuel vehicles would have expired at the end of 2015.  It could still expire then if bill HB 1247 isn’t signed into law.

 

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12 responses to "Colorado Likely to Extend $6,000 Plug-In Vehicle Tax Credit to 2021"

  1. David says:

    Looks like you have a typo. They plan to extend it to 2021, not 2012:
    “A proposal to extend Colorado’s tax credit out to 2012 is…”

    1. Eric Loveday says:

      Fixed…Thanks

  2. Anthony says:

    Is that really necessary?

    I’m hopeful that EREVs and EVs don’t need a $6,000 tax credit by 2020, that the price will have come down enough and batteries will have improved to start to encourage people to move to EVs and EREVs.

    1. Aaron says:

      Good point. It might not be necessary by then. That will make for some very inexpensive EVs!

      1. Anderlan says:

        It is interesting to look for used EVs for sale in the interior of nearby states with really good incentives. It would be worth a few thousand for me to pay to ship a LEAF from a dealer in, say, Nashville, than to buy a similar used one closer to me. I imagine this is because anyone in the used market in those states are weighing the cost of used versus the cost of new with the incentives, so there’s reason for the dealer to reflect the captured rebate in the cost, unless he’s near a population center in another, less generous, state.

    2. zilm says:

      agree, only 200 miles+ EVs will need it in 5 years or so

  3. Guyman says:

    And here in VA, the credit is $0… – The state credit for solar installations, also $0

    To future improve the situation, we have the new $100/year FEE for all electrics and hybrids – Newly required by “eliminating VA retail gas tax” (it moved to a wholesale level”), and justified by “the fact that these hydrids and electric vechiles aren’t paying their fair share based on road usage”…

    You would think we rival W VA for coal exports or something..

    1. kdawg says:

      Ditto for Michigan. I guess Motor City still loves gas.

  4. bloggin says:

    That’s a nice tax credit.

  5. Acevolt says:

    I didn’t see the volt on the list, am I missing something?

  6. Yes, you missed the part where they say it isn’t a complete list of vehicles that qualify:

    “However, this list is not exhaustive and vehicles that do not appear here may still qualify for the credit.”

    1. ClarksonCote says:

      Seems like an unfortunate oversight on Colorados part to leave the most popular qualifying plug in hybrid off their list (Volt) but good to hear it does quality.