26% Federal Tax Credit Wood Stove Changeout & Incentive Program
A wood stove changeout program is a voluntary program initiated at the local, state or regional level that provides eligible communities incentives to positively impact air quality. Residents of participating communities can receive rebates, low/no interest loans and/or discounts to replace their old appliances, with newer, more efficient wood or pellet stoves and fireplaces.
What is this new tax credit 25(D)?
Effective Dates: The new tax credit under Sec. 25(D) of the U.S. Internal Revenue Code (“IRC” or “tax code”) will come into effect on January 1, 2021 for qualifying purchases and installations completed on or after that date, through December 31, 2023.
Credit Amount: Creates a new tax credit of 26 percent of the purchase and installation costs (with no cap or lifetime limit) for tax years 2021 and 2022; moves down to 22 percent of purchase and installation costs in 2023 (under Sec. 25(D) of the U.S. tax code).
Qualifying Products: Requires qualifying products (any biomass-fueled heater) to be at least 75-percent efficient per the higher heating value (HHV) of the fuel. Further IRS guidance on qualifying products will likely come in 2021
Models That Qualify
Visit Our Showroom
857 Milwaukee Avenue (Hwy 36)
Burlington, WI 53105
Monday - Friday: 9:00am - 5:00pm
Saturday: 9:00am - 2:00pm
To learn more about this Tax Credit, give our professionals a call today at 262-763-3522. We will be happy to guide you to the right product for your home that qualifies for the tax credit. You can also visit our showroom, featuring over 30 burning displays and built-in fireplaces.