You can write off a bicycle on your U.S. taxes only if it qualifies as a legitimate business expense or medical necessity under IRS rules.
Understanding Bicycle Tax Deductions in the USA
The question of whether you can write off a bicycle on your taxes in the USA is more nuanced than a simple yes or no. The Internal Revenue Service (IRS) has strict guidelines about what counts as a deductible expense. Generally, personal expenses, including most bicycles used for commuting or recreation, are not deductible. However, under certain conditions, bicycles may qualify for tax deductions or credits.
Tax deductions reduce your taxable income, which can lower your overall tax bill. But the IRS requires that expenses be both “ordinary” and “necessary” for your trade or business to qualify for deductions. This means that if you use a bicycle strictly for personal reasons, such as exercise or leisure rides, you won’t be able to claim it on your tax return.
On the other hand, if you use the bicycle as part of your job—for example, if you’re a delivery person or courier—or if it’s medically necessary due to a health condition, there might be opportunities to write off some or all of the cost.
When Can You Deduct Bicycle Expenses?
Bicycle Used for Business Purposes
If you operate a business and use a bicycle exclusively for work-related activities, such as making deliveries or traveling between job sites, you may be eligible to deduct expenses related to that bicycle. This can include the purchase price (usually depreciated over time), maintenance costs, repairs, and even accessories necessary for business operations.
The IRS treats bicycles used in business similarly to vehicles. You’ll need to keep detailed records showing how much you use the bike for work versus personal purposes. Only the portion of expenses related to business use is deductible.
For example, if you ride your bike 70% of the time for deliveries and 30% for personal errands, only 70% of your bike-related expenses qualify as deductions.
Medical Necessity Deductions
Another way bicycles can become tax-deductible is through medical expense deductions. If a doctor prescribes biking as therapy or rehabilitation—for instance, after surgery or to improve cardiovascular health—the cost of purchasing and maintaining a bike may count as a medical expense.
Medical expenses are deductible only when they exceed 7.5% of your adjusted gross income (AGI) and are itemized on Schedule A. This means you have to keep careful documentation from healthcare providers confirming that the bicycle was medically necessary.
The Qualified Bicycle Commuter Fringe Benefit – Historical Context
Previously, under Section 132(f) of the Internal Revenue Code, employers could offer employees up to $20 per month in tax-free benefits for bicycle commuting costs. However, this benefit was suspended from 2018 through 2025 by the Tax Cuts and Jobs Act (TCJA). So currently, employees cannot claim any tax-free reimbursements from employers specifically for biking to work.
This means bicycling commuters no longer enjoy direct federal tax incentives similar to those available for parking or transit passes.
How To Properly Document Bicycle Expenses For Taxes
Good record-keeping is crucial when attempting to write off any bicycle-related expenses on your taxes. The IRS demands clear evidence that supports your claims.
- Receipts: Keep all purchase receipts including accessories like helmets and locks.
- Usage Logs: Maintain detailed logs showing dates and purposes of trips made using the bike.
- Business Records: If self-employed or running a business, document how biking fits into daily operations.
- Medical Documentation: Obtain written prescriptions or recommendations from healthcare providers stating why biking is necessary.
Without proper documentation, any deduction claims risk being disallowed during an audit.
Bicycle Depreciation Rules For Business Use
If you use a bicycle in your business and plan to deduct its cost over time rather than all at once, depreciation rules come into play. The IRS classifies bicycles as tangible personal property with a recovery period typically set at five years under the Modified Accelerated Cost Recovery System (MACRS).
This means instead of deducting the full purchase price in one year (unless using Section 179 expensing), you spread out deductions over five years based on depreciation schedules.
Depreciation allows business owners to recover costs gradually but requires careful tracking of asset value and usage percentage dedicated to business activities.
Section 179 Expensing Option
Section 179 allows businesses to deduct the full cost of qualifying property—including bicycles used entirely for business—immediately rather than depreciating it over several years. However:
- The bike must be used more than 50% for business purposes.
- Total Section 179 deductions claimed cannot exceed annual limits ($1 million cap as of recent years).
- The property must be purchased and placed into service during the tax year.
If these criteria are met, Section 179 can simplify claiming bicycle costs by accelerating deductions.
Bicycle Commuting vs Business Use: What’s The Difference?
Many taxpayers confuse commuting with business use when it comes to bicycles. The IRS defines commuting as travel between home and work locations; this travel generally does not qualify as deductible business mileage—even if done by bike.
However, trips made during work hours between multiple job sites or client visits do count as legitimate business travel eligible for deduction.
For example:
- Biking from home directly to your office: Not deductible.
- Biking between two client appointments during work hours: Deductible.
Understanding this distinction is vital before claiming any bicycle-related expenses on your taxes.
Bicycle Expenses That Are Not Deductible
It’s important to know what won’t fly with Uncle Sam:
- Personal Use: Riding purely for exercise or recreation does not qualify.
- Commuting From Home To Work: Regular commute trips aren’t deductible unless part of broader business travel.
- Non-Prescribed Medical Use: Buying a bike without medical recommendation won’t count under medical expense rules.
- Bicycle Upgrades For Style: Fancy add-ons unrelated directly to work needs don’t qualify.
Trying to claim these types of expenses risks audits and penalties down the line.
Bicycle Expense Table: Business vs Personal Use Comparison
| Expense Type | Business Use Deductible? | Personal Use Deductible? |
|---|---|---|
| Bicycle Purchase Price | Yes (with depreciation/Section 179) | No |
| Bicycle Repairs & Maintenance | Yes (proportional) | No |
| Bicycle Accessories (Helmet/Lock) | Yes (if required for work) | No |
| Biking Commute Home-to-Work Costs | No* | No* |
| Bicycle Purchase For Medical Reasons* | N/A (medical deduction possible) | Possible with doctor’s note & itemizing* |
| E-Bike Purchase Rebates (State Level) | Varies by state/local program | N/A (depends on program) |
| *Subject to specific IRS rules/exceptions; consult professional advice. | ||
Key Takeaways: Can You Write Off Bicycle On Taxes In The USA?
➤ Bicycles for commuting are generally not deductible.
➤ Medical necessity can qualify for a tax write-off.
➤ Business use may allow partial deduction.
➤ Keep receipts to support any claimed deductions.
➤ Consult a tax pro for specific eligibility details.
Frequently Asked Questions
Can You Write Off a Bicycle on Taxes in the USA for Business Use?
You can write off a bicycle on your taxes if it is used exclusively for business purposes. This includes delivery work or traveling between job sites. Expenses such as purchase price, maintenance, and repairs may be deductible, but only the portion related to business use qualifies.
Is a Bicycle Considered a Legitimate Business Expense for Tax Deductions?
The IRS treats bicycles used in business similarly to vehicles. To qualify as a legitimate business expense, you must keep detailed records of how much you use the bike for work versus personal activities. Only the business-use percentage of expenses is deductible.
Can You Write Off a Bicycle on Taxes in the USA if It’s Medically Necessary?
If a doctor prescribes biking as therapy or rehabilitation, the cost of purchasing and maintaining a bicycle may be deductible as a medical expense. These expenses must exceed 7.5% of your adjusted gross income and be itemized on Schedule A to qualify.
Are Personal Bicycles Deductible on U.S. Taxes?
Generally, personal bicycles used for commuting or recreation are not tax deductible. The IRS requires expenses to be “ordinary” and “necessary” for business or medical reasons to qualify, so personal use alone does not allow you to write off bicycle costs.
What Records Should You Keep to Write Off a Bicycle on Taxes in the USA?
To claim bicycle-related deductions, maintain detailed records of purchase receipts, maintenance costs, and usage logs showing how much the bike is used for business versus personal purposes. Accurate documentation is essential to support your deduction claims with the IRS.
The Bottom Line – Can You Write Off Bicycle On Taxes In The USA?
So what’s the final answer? Can you write off bicycle on taxes in the USA? Yes—but only under specific circumstances where usage qualifies either as legitimate business expenses or medically necessary costs backed by documentation. Regular personal biking activities don’t meet IRS criteria for deductions.
If you’re self-employed using your bike extensively in daily operations or have medical prescriptions supporting its purchase and upkeep costs, explore potential deductions carefully with accurate records. Otherwise, claiming personal cycling costs will likely lead nowhere with tax authorities.
Understanding these distinctions ensures compliance while maximizing legitimate savings opportunities related to bicycling expenses within U.S. tax law frameworks.