Install a qualifying renewable
energy product and receive a $300 energy tax credit towards
the product and installation!
The American Recovery and Reinvestment Act of
2009 (Recovery Act) signed into law on February 17, 2009,
includes a consumer tax credit of up to $300, towards the
purchase of 75%-efficient bio-mass burning stoves (i.e. wood
and pellets) and can be used towards the stove, venting, hearthpads
and installation costs for the 2009 taxable year and again
in 2010.
The new tax credit begins immediately and applies to qualifying bio-mass burning stoves already purchased in 2009; the Internal Revenue Service (IRS) has issued a full list of efficiency guidelines regarding which products qualify.
What is the Tax Credit?
Consumers claim the credit on their federal income tax form at the end of the year. The credit then increases the tax refund or decreases the amount the taxpayer has to pay, dollar-for-dollar; whereas, tax deductions simply lower your taxable income. Please consult your tax advisor for more information.
Why was the Tax Credit Created?
The Recovery Act was created to boost our economy, create and/or save jobs, and put a down payment on addressing long-neglected challenges so our country can thrive in the 21st century.
The Recovery Act targets investments towards
key areas that will save or create good jobs immediately,
while also laying the groundwork for long-term economic growth
– including $43 billion to "Revive the renewable energy industry
and provide the capital over the next three years to eventually
double domestic renewable energy capacity" – which offers
a consumer tax credit (up to $300) for the purchase of 75%-efficient
bio-mass burning stoves (i.e. wood and pellets) and can be
used towards the stove, venting, hearthpads and installation
costs.
What are the Tax Credit Requirements?
In accordance with the American Recovery and Reinvestment Act of 2009 Energy Conservation Incentives, non-businesses may qualify for this credit if the wood or pellet stoves meet the criteria of 75% or better efficiency as measured using a lower heating value (LHV).
The tax credit increases a tax refund or decreases the amount the tax payer has to pay dollar for dollar!
