- To be considered,  a stove must use the burning of biomass fuel to heat a 
dwelling unit or to heat water for use in such a dwelling unit, and have a 
thermal efficiency rating of at least 75% as measured using a lower heating value; 

 - Installation is covered, as long as it is a requirement for the stove’s proper and 
safe functioning; 

 - This consumer tax credit is 30% (up to $1500) for the purchase and installation of 
a 75% efficient stove, and is available in both 2009 and 2010; 

 - The tax credit is an aggregate, i.e., the total $1500 can include other energy 
efficient items.  For instance, if a consumer claims $900 on a new stove, then he 
will have $600 to purchase additional energy saving products in the same tax year; 

 - If a taxpayer uses the entire $1500 tax credit on a competing product then they 
cannot use it for a biomass stove in that same tax year; 

 - This credit applies only to existing principle residences; 

 - Manufacturers must provide a certificate of qualification for each product as 
required in the guidance which can be obtained for the customer to use; 

 - Taxpayers must retain the certification statement for tax recordkeeping purposes, 
but the certification is not required to be attached to the tax return; 

 - Prior purchases made between January 1, 2009, and June 1, 2009 are covered if 
the manufacturer offers a certificate of qualification for the product; 

 - If a manufacturer has documentation that a stove has already achieved the 
required efficiency rating, no further testing is required; 

 - The IRS has not stated that inserts are covered, or are not covered, but based 
on EPA’s practice of treating inserts and freestanding biomass stoves in a similar 
fashion, manufacturers may choose to include inserts.