With the winter months upon us home owners will be using their fireplaces and heating stoves to help warm their homes. Homes owners now have the ability to save on their heating bill and still keep their home warm at the same time thanks to a federal tax credit which is designed to cover as much as 30% up to a maximum of $1,500 of the cost of clean fuel fireplace inserts and stoves. Investing in these products will save home owners money on their heating bill, give them a federal tax credit and increase the value of their home.
For a home owner to qualify for the federal tax credit they must purchase a fireplace insert or stove that has a certified efficiency rating of a least 75%. The fireplace insert or stove must also burn a biomass fuel source. An example of biomass fuel sources are renewable pellets or wood. The stove or fireplace inset must be purchased and installed by December 31, 2010.
Homeowners who purchase a qualifying fireplace insert or stove and have it installed before the deadline can claim the credit on their federal tax return. To claim the credit they should keep their receipts and the certification from the manufacturer stating that the fireplace insert or stove purchased meet all the eligibility requirements for the tax credit. If the stove or fireplace inserts required professional installation in order to work properly and safely the professional installation cost should be added to the purchase price of the item and included into the total value of the tax credit.
These products can be a valuable investment when considering the amount of money that can be saved annually on heating costs. Expert’s estimate that the use of these eco-friendly appliances can reduce; a homes yearly heating bill by 20 to 40% depending on what type of fuel is used and the homes current source of heating.
I use my fireplace almost every day in the winter months. It doesn’t ever get too cold in Central Texas. It does help cut my gas bill quite a bit and it smells good through the whole house.
Fireplace is good. Electric heaters sonsume too much power. Nice if you can use an energy efficient one.
That’s true. I learned the hard way last year about the cost of electric heat; that won’t happen again.