You could qualify for a $300 tax credit. The biomass stove tax credit was extended for qualifying woodstove and insert purchases made before December 31, 2020.
What is it?
- A $300 tax credit for purchasing a biomass stove that is at least 75 percent efficient.
- The wood burning stove or fireplace insert was purchased before December 31, 2020.
- The stove burns biomass as a fuel, heats air or water, and is at least 75 percent efficient.
What paperwork you should keep for your tax records?
- Purchase receipt
- The manufacturer certificate stating that the stove qualifies for the credit and is at least 75 percent efficient.
How to Claim It:
- Complete eligible purchase by December 31, 2020.
- Claim the credit on your federal income tax form.
- File Via Tax Software: Located in the “credits” section of the Federal portion under home ownership and residential energy credit.
- File Via U.S. Mail: Usually located on line 22a of IRS form 5695 under residential energy property costs and energy-efficient building property. The IRS provides additional instructions for this form.
For more information and to take a look at various sizes and styles of wood burning stoves and wood burning fireplace inserts, contact The Fireplace Shop and Grill Center at West Sport in Sudbury, MA.