Colorado has passed a bill that provides a $5,000 tax credit for in-state buyers of battery-electric vehicles.
The bill (HB 1332) is an update to Colorado’s vehicle incentive program, and applies to the purchase of a light duty EV. The tax credit can be assigned directly from the buyer to the dealership or finance company immediately upon purchase. The vehicle must be new, unless the vehicle is being converted into an EV.
The bill, which takes effect Jan. 17, 2017, also requires a lessee to enter into a lease with a term no less than two years to qualify for the tax credit once the bill goes into effect.