USA Only – Federal Tax Credits for Energy Efficiency
Receive up to 30% or $1,500 in Tax Credits for the purchase of an alcohol Fireplace
On February 17, 2009, President Obama signed into law a stimulus bill (The American Recovery and Reinvestment Act of 2009) that made significant changes to the Tax Credits available for purchase of Nonbusiness Energy Property.
These changes affect consumers purchasing DecoFire Fireplaces in the most positive of ways.
These amendments to the Internal Revenue Code have qualified consumers purchasing any DecoFire’s product for a tax credit of up to $1,500 or 30% of their purchase price.
Qualification requires meeting various rules and limitations detailed below.
DecoFire recommends that you consult your tax advisor for details specifically relating to your individual circumstances.
Why Do DecoFire Fire Products Qualify?
One type of Qualified Energy Property is defined in Internal Revenue Code Section 25C(d)(3)(E) as the following:
a stove which uses the burning of biomass fuel to heat a dwelling unit located in the United States and used as a residence by the taxpayer,
or to heat water for use in such a dwelling unit, and which has a thermal efficiency rating of at least 75 percent, as measured using a lower heating value.
Biomass fuel is detailed in Section 25C(d)(6) as:
The term “biomass fuel” means any plant-derived fuel available on a renewable or recurring basis,
including agricultural crops and trees,
wood and wood waste and residues (including wood pellets),
plants (including aquatic plants),
grasses, residues, and fibers.
All DecoFire Fire products burn Denatured Ethanol (Alcohol) which complies with the above definition of a “Biomass Fuel”.
All products from DecoFire Fire have a minimum thermal efficiency of 90% which exceeds the requirements for energy efficiency detailed in the code.
Independent testing information will be made available if required to confirm the thermal efficiency data.
Details & Conditions
- The DecoFire Fire must be first “placed in service” between January 1, 2009 and December 31, 2010.
- The DecoFire Fire must be installed in a dwelling unit owned and used by the taxpayer as his principal residence in the United States of America.
- The maximum Tax Credit for Nonbusiness Energy Property is $1,500
- For record keeping, receipts of purchase must be saved along with a copy of the Manufacturer Certification Statement.
- Amounts paid or incurred in 2010 will be claimed on your 2010 taxes (filed by April 15, 2011) – use IRS Tax Form 5695 (2009 version) – it will be available late 2009 or early 2010
The credit referred to is provided under the terms of Internal Revenue Code Section 25C(d)(3)(E)