🔎 What is the New Biomass Heating Tax Credit?
Effective Dates:
The new tax credit under Section 25(C) of the U.S. Internal Revenue Code (IRC) became effective January 1, 2023. It applies to qualifying purchases and installations completed between January 1, 2023, and December 31, 2032.
💰 Credit Amount:
Homeowners can claim a 30% tax credit on the purchase and installation costs of qualifying biomass-fueled heating appliances.
- Annual cap: $2,000
- Lifetime limit: None
✅ Qualifying Products:
To qualify, products must be biomass-fueled heaters with a thermal efficiency of at least 75% (Higher Heating Value - HHV).
Further guidance from the IRS regarding qualifying products is expected to be released in 2023.
📚 Additional Resources:
For more details, including a comprehensive FAQ about the IRA Biomass Heating Tax Credit, please visit the Hearth, Patio, and Barbecue Association (HPBA) website.
💳 Financing Options:
For U.S. Customers:
The following states currently offer financing options for eligible heating appliances:
- Maine
- Vermont
For Canadian Customers:
Provincial tax credits are available in the following regions:
- British Columbia
- New Brunswick
- Northwest Territories
- Nova Scotia
For any further inquiries or assistance, feel free to contact us.