What you need to know

Energy Efficient Home Improvement Credit:

• Consumers buying highly efficient wood stoves will be able to claim a 30% tax credit that is based on the full cost of the wood stove, including purchase AND installation.
• The tax credit is capped at $2,000 annually with no lifetime limit.
• Effective Dates: The tax credit under Sec. 25(C) of the U.S. Internal Revenue Code (“IRC” or “tax code”) took effect on January 1, 2023, for qualifying purchases and installations completed on or after that date, through December 31, 2032 December 31, 2025.
• Qualifying Products: Qualifying products (any biomass-fueled heater) must have a thermal efficiency of at least 75 percent per the higher heating value (HHV) of the fuel.
  • HearthStone currently has 16 models which are eligible for this tax credit. Our Certificate of Efficiency lists all of our qualifying models.
  • December 2024 update: Beginning in the calendar year 2025, the EPA-certified wood heater database must be referenced.
  • Also new for 2025:  When filing your taxes for 2025, every consumer will need a number known as a “Qualifying Manufacturer” number or QM. That number will be supplied by the retailer once the IRS system for issuing them is finalized sometime in the middle of 2025.
  • The QM is NOT needed when filing your 2024 taxes.

The HPBA (Hearth Patio & Barbecue Association) is a great source for additional information.

Claiming the tax credit

To apply for the Section 25C US tax credit (Energy Efficient Home Improvement Credit), you need to file IRS Form 5695, Residential Energy Credits, with your federal income tax return for the year the qualifying property was installed.

Follow these links to the IRS website for more information:

IRS Guidance Website

IRS FAQ Document

When the EPA gets tough, we get tougher.

In advance of the year 2020, the Environmental Protection Agency (EPA) had let if be known that the emission standards in the wood stove industry would be significantly tightened up. At Hearthstone, we didn’t delay and got to work right away with meeting the new, tougher standards that had been set forth by the world’s best-regarded environmental scientists. We put each of our stoves through rigorous testing, pushed our R&D department and team of engineers to do better, and even employed third party experts to double-check our testing and reports. The inevitable results were that we were indeed successful.

We were so successful, in fact, that it seemed that our competitors couldn’t keep up. And before we knew it, we had claimed 5 spots in the top 15 HHV-rated wood stoves by the EPA. A big accomplishment for a small manufacturing company that’s been making stoves in the heart of the Green Mountains of Vermont for the past 42 years. But maybe it wasn’t that surprising after all. Our vision statement has always reflected a dedication to environmental consciousness. We know that even with the fact that burning wood is one of most environmental ways to heat your home (because wood is a 100% renewable resource), the more efficient we can make our burns, the better. That’s because using quality materials like soapstone which extend the heatlife of your burn, as well as employing wood-burning technology like TruHybrid, will reduce the amount of wood that you will need to use to get the same amount of heat from one of our competitor’s stoves. That’s probably why you’d understand that we walk around our hallways and production floor throwing around phrases, like “best damn stoves on the market” and “well, it’s a HearthStone–anything else is just a wood stove”.

And now that the government has released a new consumer tax credit in 2023 on wood stoves that meet a 75% HHV value or higher, we’re proud to announce that every single one of our free-standing wood stoves has met or exceeded that threshold. Every single one. That means that, as a consumer, you are able to earn a 30% tax credit on your purchase and installation of an eligible HearthStone wood stove.

All of HearthStone’s TruHybrid™ products qualify for the 25C tax credit.

The Soapstone Family

The Traditions Family

The Green Mountain Family

The HASE Family

Fireplace Inserts