$1,500 Tax Credit on Purchase of All Rich's Wood Stoves, Pellet Stoves, and Fireplaces

Homeowners who purchase an energy-efficient wood or pellet stove, fireplace, or fireplace insert can claim a tax credit of up to $1500 on their 2009 or 2010 federal income taxes.

The tax credit, part of the US government’s Recovery Act, applies to 75 percent-efficient biomass burning stoves and can be used for the purchase and installation of the stove, venting, and hearthpads.

“This new tax credit is a great way for consumers to save up to 30 percent on a wood stove or pellet stove purchase,” says Jon Chapman, marketing manager for Rich’s for the Home.

A homeowner who spends $3,000 on a stove, for instance, can claim a 30 percent tax credit – or $900 – on his or her federal income tax return, Chapman explains. The credit either increases the tax refund or decreases the tax bill, dollar-for-dollar.

The tax credit is good on all stove and fireplace brands Rich’s for the Home carries, including Lopi, Hearthstone, Avalon, Morso, and Harman. People who purchase stoves will receive certification that the product qualifies for the tax credit.

“This tax credit is an outstanding achievement for the biomass stove industry,” says Chapman. “We’re cautiously optimistic that it will increase demand for the products.”

The benefits of heating with biomass

• Reduced heating costs – Wood and pellet prices fluctuate less than propane, oil, and natural gas.
• Green heating – Wood and pellet fuel is a carbon-neutral, renewable resource. Today’s stoves  produce more heat with less wood and are clean-burning, with less ash and minimal outside air emissions. They eliminate 75 percent of the carbon emissions associated with fossil fuel burning.

For complete details about the tax credit:

• IRS Notice 2009-53, Non-business Energy Property
• Hearth, Patio & Barbeque Association (HPBA)

Comments

[stove pipe]

I have been hearing all about this tax credit. Thanks for laying out so nicely.

[Pellet Stove Guy]

The Tax Credit system is crucial to help get the pellet stove market up and running. Without it, there is a ‘Chicken and egg’ scenario of making pellets and consumers buying pellet stoves.

Hopefully there will be more incentives for consumers to choose a pellet stove in the next few years.