The American Taxpayer Relief Act of 2012 (H.R. 8), signed on January 2, 2013 includes a “tax extender” for Internal Revenue Service Section 25C which provides a tax credit for qualifying biomass burning stoves.
This “Fiscal Cliff” tax package reinstated and extended the $300 tax credit for biomass heaters that are 75% efficient using lower heating value and was retroactively renewed to be effective January 1, 2012, expiring on December 31, 2013.
To Obtain The Tax Credit:
- A qualifying Nature’s Comfort outdoor furnace or pellet stove must have been purchased and placed in service between January 1, 2012 and December 31, 2013.
- Save the purchase receipt and the manufacturer’s certification statement for the furnace purchased.
- Claim the tax credit associated with a qualifying purchase on a federal filing for the 2012 or 2013 tax year.
- The tax credit is for 10% of the amount paid for a qualifying product (installation costs cannot be included) up to a maximum of $300.
- The credit applies to a homeowner’s primary residence only.
- A tax credit is a dollar-for-dollar reduction subtracted from your tax liability. This means that $300 can be subtracted directly from tax that is owed or added to a tax refund.
This information is provided as a courtesy by Nature’s Comfort and may not be relied upon as a substitute for advice from a tax professional. Nature’s Comfort LLC is not a tax advisor. Taxpayers claiming a tax credit should consult a tax professional with any questions. Nature’s Comfort is not responsible or liable for any taxpayer’s ability or inability to receive a tax credit.