The Short Answer
The federal 25(C) biomass stove tax credit — the one that gave buyers 30% back on qualifying EPA-certified wood and pellet stoves — expired December 31, 2025. It is not available for purchases or installations made in 2026. If a retailer's product page still promises "claim your 30% tax credit," that information is out of date.
What the Credit Was
From 2023 through 2025, the Energy Efficient Home Improvement Credit under Section 25(C) covered 30% of the purchase and installation cost of biomass stoves and boilers rated at 75% HHV efficiency or higher, capped at $2,000 per year, claimed on IRS Form 5695. It was a genuine incentive that moved a lot of buyers toward cleaner-burning, EPA 2020 certified units.
What Happened
Federal budget legislation passed in 2025 terminated the 25(C) credit for property placed in service after December 31, 2025. There is currently no federal replacement for wood or pellet stove purchases. Always confirm the latest rules with a tax professional — tax law can change again.
What's Still Available
The federal credit is gone, but state and local incentives never depended on it. Many states and regional air-quality districts run wood stove changeout and rebate programs — often paying homeowners to replace old, uncertified stoves with EPA 2020 certified models. Amounts and eligibility vary widely by state and even by county, so check your state energy office or local air district before you buy, and consult a tax professional on anything you plan to claim.
Why EPA-Certified Still Wins Without the Credit
An EPA 2020 certified stove burns roughly a third less wood for the same heat compared to an old uncertified unit, keeps its glass cleaner, produces dramatically less smoke, and is what most changeout programs require. The credit sweetened the deal — but the fuel savings were always the bigger number over the life of the stove.
Where to Start
Every wood-burning unit we carry is listed with its efficiency and certification status, so you can shop with the same information the credit used to require. Browse our Wood Stoves, Wood Burning Fireplaces, and Fireplace Inserts — all with free US shipping.
Combustion units sold on this site are subject to California Prop 65. Learn more here.
