Tax exemptions, low-interest loans, grants, and free parking
Gardening and landscaping companies are regularly confronted with the issue of sustainability, but they also have to watch their budgets closely. Fortunately, there is a wide range of support available for the purchase of electric vans, wheel loaders, or excavators. The same applies to electric company vehicles, which are of course also worthwhile for other businesses, such as landscape architects or municipal agencies. To help you navigate the multitude of options and avoid wasting money, we’ve summarized the most important programs and benefits in a concise overview.
Tax Exemptions for Electric Vehicles
- No vehicle tax for newly registered electric vehicles until the end of 2035
- This benefit also applies to used vehicles—but for a maximum of ten years in total
- After the exemption expires, only 50% of the regular tax rate will apply
- More information on the tax exemption:
www.bundesregierung.de/breg-de/aktuelles/e-autos-steuerfrei-2389328 (in German)
Tax benefits and favorable personal use
- 75% of the purchase price can be depreciated in the first year
- Also applies to used electric vehicles and leases
- 0.25% tax rate instead of 1% for personal use of an electric company car*
- More information on accelerated depreciation:
www.bundesregierung.de/breg-en/news/federal-cabinet-adopts-growth-booster-2351964
KfW Funding Programs
KfW offers several key programs for the electrification of vehicle fleets and machinery.
KfW Investment Loan for Sustainable Mobility 268/269 (Website in German)
Provides financing for electric cars, vans, trucks, electric cargo bikes, and charging infrastructure—up to 100% of the investment costs.
KfW Credit 293 (Website in German)
Supports the installation of solar power systems and storage units to charge vehicles and machinery with self-generated electricity.
KfW Credit 295 (Website in German?
Supports electric construction equipment such as wheel loaders, excavators, and telehandlers. Depending on the potential CO₂ savings, a grant covering up to 60% of the purchase price may be available.
Services offered by the Federal Office for Economic Affairs and Export Control (BAFA)
Module 4 (“Energy and Resource Optimization”) in German
Promotes efficiency measures in operations.
Module 6 (“Electrification of Small Businesses”) in German:
Provides grants of up to 33% for electric forklifts and industrial trucks, among other things.
Electric commercial vehicles
Unfortunately, previous BAFA programs specifically for electric commercial vehicles have expired. However, electric cargo bikes remain eligible for funding (in German)—with a 25% subsidy and up to 3,500 euros.
Regional Funding Programs – The Case of Bavaria
- The LfA Förderbank Bayern supports investments in renewable electricity generation and storage systems through its "Energiekredit Regenerativ" (Renewable Energy Loan) programme.
- Starting in 2026, the programme "Ladeinfrastruktur für Elektrofahrzeuge in Bayern" (Charging Infrastructure for Electric Vehicles in Bavaria) will launch with several funding calls for commercial charging points.
- In Bavaria, parking with an "E" licence plate (electric vehicle registration) is free of charge at all managed public car parks until the end of 2026. A fact sheet on this topic can be downloaded via the following link:
