Politics paves the way for further tax breaks for e-bikes
Von Fabian Huber |
2 minutes read time
Published: April 6, 2021 | Updated: May 8, 2023
On November 29, 2019, the Bundesrat followed the Bundestag and paved the way for the further tax incentives for e-bikes as part of the electromobility transition. In particular, this results in tax advantages for the private use of an electric company bike.
New “0.25% rule”
The government draft initially included an extension of the halved assessment basis of 0.5% for company car taxation for the use of company electric or hybrid electric vehicles for private purposes. The 1% rule remains active for company vehicles with combustion engines.
In order to take into account the "Climate Package 2030" that has since been adopted, the assessment basis for electric vehicles (especially for us, e-bikes in all their forms such as Pedelec, S-Pedelec and E-bike) was reduced to 0.25% assessment basis.
This regulation applies to all electric vehicles purchased between January 1, 2019 and December 31, 2030 that do not generate carbon dioxide emissions and have a gross list price of less than €40,000.
We are pleased about this legal basis and assume that it will quickly be adapted to all forms of electric company bikes.
Tax exemption for company bikes extended from 2021 to 2030
The original text of the law provided for tax exemption for employer-financed company bicycles until 2021. This subsidy was also extended in the 2019 Annual Tax Act until the end of 2030.
Example:
An employee receives a company bike or e-company bike from their employer between January 1, 2019 and December 31, 2019 (previously 2021) and receives the leasing rate financed by the employer in addition to their salary (no salary conversion). Taxation is eliminated - this means that the bike or pedelec remains tax- and contribution-free for the entire leasing period, and the vehicle (e-bike, MTB or racing bike or ...) can also be used privately.
Overview of forms of company bike rental |
|
Transfer by salary conversion
|
| Transfer until 31.12.2018 ➔ 1% rule | Transfer from 01.01.2019 ➔ 0.5% rule (1% of half the gross list price (RRP)) |
New*
Transfer from 01.01.2020 ➔ 0.25% rule (1% of the quartered gross list price (RRP)) |
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Employer-funded company bike
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| Transfer until 31.12.2018 ➔ 1% rule, subject to tax and contributions | Transfer from 01.01.2019 to 31.12.2021 ➔ tax-free and contribution-free §3 No. 37 EStG |
New
Transfer from 01.01.2019 to 31.12.2030 ➔ tax-free and contribution-free §3 No. 37 EStG |
*after adjustment of the tax exemption
Using a calculation example for an e-bike, we would like to illustrate the effects of the new legislation and tax relief for the form of salary conversion in an example.
| Salary conversion | “0.5% rule” | “0.25% rule” |
| RRP | 2,999.00 euros | 2,999.00 euros |
| Selling price | 2,799.00 euros | 2,799.00 euros |
| New assessment basis (EIA) | 1,499.50 euros | 749.75 euros |
| Reference value for monetary benefit | 1,400.00 euros | 700.00 euros |
| Monetary benefit (according to the 1% rule) | 14.00 euros | 7.00 euros |
| Actual monthly net charge (including premium protection) | 49.52 euros | 46.10 euros |
| Total (36 months) | 1,782.72 euros |
1,659.60 euros |
* Calculation example: 3,000 gross salary, tax class I, NRW, employer subsidy 3.33 euros, church tax yes
Order cheap e-bikes now in the myvélo shop! Of course, you can also get the corresponding leasing contracts from us. We are partners of Job-Rad , Eurorad and Businessbike
myvélo wishes you safe journeys at all times.
