Wood furnace tax credit: what is the status now?
Not for work installed after December 31, 2025. Wood furnace tax credit — IRS: “You can claim the credit for improvements made through December 31, 2025.” Maine biomass rebate: “1/3 of project costs up to $6,000 rebate” “Any homeowner” Efficiency Maine, read November 3, 2026.
InstaBids is an AI-run marketplace for homeowners and property managers: describe a home job once, by chat or through your own AI assistant, add photos, and get multiple written quotes on the same scope, compared apples to apples, with no phone calls or home visits before you pick.
For written bids that identify the proposed wood heating equipment, you can describe the project on InstaBids.
- Describe it onceBy chat, or through your own AI assistant, and add photos.
- Post it and send itContractors bid in writing on that scope.
- Compare line by lineEvery quote is written against the same scope.
- You chooseContact details stay hidden until you pick and they confirm.
At a glance
- 70%Maine biomass equipment: minimum HHV efficiencyEfficiency Maine, read November 3, 2026
- 75%Historical IRS biomass equipment: minimum HHV efficiencyInternal Revenue Service (IRS), read October 21, 2026
- June 30, 2025NH: last Step 1 applications before closureNew Hampshire Department of Energy, read November 3, 2026
For your AI assistant
MCP connector · REST API · plain HTMLHand any of these to your assistant and it can help you write this job's request; you send the request yourself. What you type in the job box above goes into the prompt these buttons carry. The connector asks you to sign in to your InstaBids account the first time.
- MCP connector URL
https://instabids.ai/api/agent/mcp - Agent API (OpenAPI)
https://instabids.ai/openapi.json - Start-request link
https://instabids.ai/intake?trade=hvac&from=rebates-wood-furnace-tax-credit&utm_source=us&utm_medium=page&utm_campaign=rebates&page_type=rebates&job=wood+furnace+tax - Prompt for any AI, with your job
- ChatGPTOpens with the prompt
- ClaudeOpens with the prompt
- GrokOpens with the prompt
- GeminiCopies the prompt, then opens
Every page is plain HTML. Steps for every assistant: add to your assistant.
Programs, amounts and status
| Maine Biomass Boiler and Furnace Rebates | “1/3 of project costs up to $6,000 rebate” Status: open (source read 3 November 2026). “Submit rebate claim form” Pays for: “A biomass boiler or furnace burns pellets or cordwood and is connected to a heating distribution system.”. Who it is for, in the agency's words: “Any homeowner Boiler or Furnace Must have Higher Heating Value (HHV) efficiency of at least 70% Building Single-family house, two-unit duplex, condominium, or mixed-use building with one or two housing units and no commercial electrical meter(s). Click here for all other building types.” How to apply: efficiencymaine.comEfficiency Maine, read 3 November 2026 |
|---|---|
| Energy Efficient Home Improvement Credit — biomass stoves and boilers | “$2,000 per year for qualified heat pumps, water heaters, biomass stoves or biomass boilers” Status: ended (source read 17 October 2026). Pays for: “Biomass stoves and boilers”. Who it is for, in the agency's words: “You may claim the energy efficient home improvement credit for improvements to your main home. Your main home is generally where you live most of the time.” How to apply: irs.govInternal Revenue Service, read 17 October 2026 |
Programs by state
| Maine | Maine Biomass Boiler and Furnace Rebates (open, as of 3 November 2026) “Submit rebate claim form” — Sources read: 3 November 2026 |
|---|---|
| Maryland | Maryland Clean Burning Wood and Pellet Stove Rebate Program (ended, as of 3 November 2026) “***THE FY24 CLEAN BURNING WOOD AND PELLET STOVE PROGRAM IS NO LONGER ACCEPTING APPLICATIONS. SEE BELOW FOR INFORMATION.***” — Sources read: 3 November 2026 |
| Massachusetts | MassCEC Woodstove Change-Out Program (ended, as of 3 November 2026) “Important note: MassCEC is not planning to run the Woodstove Change-Out Program in future years.” — Sources read: 3 November 2026 |
| Alaska | Fairbanks North Star Borough Wood Stove Change Out Program (open, as of 3 November 2026) “The Borough is currently offering the Wood Stove Change Out Program, the Oil to Gas Conversion Program, and the Bounty Program for properties located in the PM2.5 Nonattainment Area.” — Sources read: 3 November 2026 |
| Washington | Spokane County wood stove changeout program (open, as of 3 November 2026) “The wood stove changeout program: Fall 2025-Spring 2027 The wood stove changeout program is funded by a grant from the Washington Department of Ecology to help local homeowners upgrade their old wood burning devices, which improves air quality for us all.” — Sources read: 3 November 2026 |
| California | Feather River district Woodsmoke Reduction Program — application pause with stated exception (open, as of 3 November 2026) “October 9, 2026 Due to an overwhelming applicant response, the Woodsmoke Reduction Program has been paused. We are still accepting applications for residents located in the Disadvantaged Community areas. Please visit California Climate Investments Priority Populations Mapping Tool 5.0 to determine if you live in a Disadvantaged Community (green area in map below). If you live in this area, contact us for an application.” — Sources read: 3 November 2026 |
| Vermont | Vermont residential wood-energy incentives (open, as of 3 November 2026) “$400 Wood & Pellet Stove Rebate from Efficiency Vermont.” — Sources read: 3 November 2026 |
| Oregon | Washington County Wood Stove Exchange Program (ended, as of 3 November 2026) “The Wood Stove Exchange program concluded at the end of June 2026 and is no longer accepting new applications.” — Sources read: 3 November 2026 |
| Nevada | Carson City and Douglas County Wood Stove Change-Out Program (open, as of 3 November 2026) “The Nevada Division of Environmental Protection, in association with the UNR Business Environmental Program, has reopened the Carson City and Douglas County Wood Stove Change-Out Program.” — Sources read: 3 November 2026 |
| New Hampshire | New Hampshire Residential Bulk-Fed Wood-Pellet Central Boilers and Furnace Rebate Program (closed, as of 3 November 2026) “"Pursuant to HB 2 (2025), this rebate program is closed to new projects until further notice. All Step 1 applications submitted to the Department on or before June 30, 2025, will be processed and permitted to file Step 2 applications."” — Sources read: 3 November 2026 |
Wood stove tax credit 2026?
The federal credit ended. Maine lists a separate biomass boiler and furnace rebate; this is a rebate rather than a federal tax credit. Efficiency Maine states:
“1/3 of project costs up to $6,000 rebate”
Sources: Internal Revenue Service (IRS), read ; Efficiency Maine, read .
On InstaBids, describe whether the project involves a central wood heating system or a room stove.
Wood stove tax credit requirements?
The IRS instructions describe historical biomass-credit equipment using HHV efficiency. Maine has its own equipment requirement for the separate boiler and furnace rebate. These are different program records:
The IRS biomass-equipment instructions name a manufacturer identifier and an HHV efficiency requirement. Federal home improvement credit guide
“Must have Higher Heating Value (HHV) efficiency of at least 70%”
Sources: Internal Revenue Service (IRS), read ; Efficiency Maine, read .
Include the proposed model and its efficiency documentation when describing a wood heating project on InstaBids.
Wood stove tax credit form?
The IRS Form 5695 instructions are the federal credit document. Maine uses a separate rebate claim form and states its submission timing as follows:
“Rebate claim form emailed or postmarked within six months of project completion”
Sources: Internal Revenue Service (IRS), read ; Efficiency Maine, read .
Your written scope on InstaBids can ask for the equipment records supplied with the installation.
How do I apply?
For the Spokane County stove changeout, the agency describes an application before replacement. Its project-photo requirement concerns the existing device in its installed condition:
“An application must be submitted along with a current photo of the installed and operational wood stove or stove insert you wish to change out.”
Source: Spokane Regional Clean Air Agency, read .
When describing a stove replacement on InstaBids, include the existing device and the intended replacement work.
Does my old device have to be destroyed?
The Fairbanks North Star Borough FAQ gives the following rule for replacement or removal projects. The requirement concerns the old device, rather than equipment documentation alone:
“If participating in the replacement or removal program, yes. In order to ensure that the old devices turned in as part of these programs are never again used in our area, they must be destroyed.”
Source: Fairbanks North Star Borough, read .
A stove replacement scope on InstaBids can identify removal and disposal as separate items of work.
Can I replace my hydronic heater with a more efficient hydronic heater with this program?
Fairbanks North Star Borough answers this equipment question directly. Its statement concerns wood or coal hydronic heaters in this local changeout program:
“No. There are currently no wood or coal burning hydronic heaters that meet the emissions requirements required by both our funding source and Borough Code for change outs.”
Source: Fairbanks North Star Borough, read .
For hydronic heating work on InstaBids, identify the existing boiler and the replacement system in the project description.
Wood stove tax credit going away?
The federal biomass credit ended. A separate Oregon stove-exchange program also concluded; this Washington County statement concerns that local program rather than federal credit eligibility:
“The Wood Stove Exchange program concluded at the end of June 2026 and is no longer accepting new applications.”
Sources: Internal Revenue Service (IRS), read ; Washington County, read .
You can describe wood heating installation work on InstaBids with the scope and equipment stated in writing.
Before you apply
- “Residential Registered Vendor for Biomass Boilers and Furnaces”
- “Must have Higher Heating Value (HHV) efficiency of at least 70%”
- “Rebate claim form emailed or postmarked within six months of project completion”
- “Single-family house, two-unit duplex, condominium, or mixed-use building with one or two housing units and no commercial electrical meter(s). Click here for all other building types.”
Find the IRS rule for your home improvement
| Question to review | Project record | Agency document | Sources read: | Official rule |
|---|---|---|---|---|
| Manufacturer identification | Product records for the return | Internal Revenue Service (IRS) | Read the IRS form instructions | |
| Credit end date | Timing of the home improvement | Internal Revenue Service (IRS) | Read the IRS credit page |
Sources read:
- Internal Revenue Service (IRS): https://www.irs.gov/credits-deductions/energy-efficient-home-improvement-credit, read 17 October 2026.
- Internal Revenue Service (IRS): https://www.irs.gov/instructions/i5695, read 21 October 2026.
- Efficiency Maine: https://www.efficiencymaine.com/at-home/biomass-boilers-furnaces/, read 3 November 2026.
- Maryland Energy Administration: https://energy.maryland.gov/Residential/Pages/incentives/woodstoves.aspx, read 3 November 2026.
- MassCEC: https://www.masscec.com/resources/learn-about-woodstoves, read 3 November 2026.
- Fairbanks North Star Borough: https://aqfairbanks.com/386/Change-Out-Programs, read 3 November 2026.
- Spokane Regional Clean Air Agency: https://spokanecleanair.org/burning/changeout/, read 3 November 2026.
- Feather River Air Quality Management District: https://www.fraqmdca.gov/woodstove-and-fireplace-insert-grants, read 3 November 2026.
- Vermont Department of Forests, Parks and Recreation: https://fpr.vermont.gov/woodenergy/rebates/residential-incentives, read 3 November 2026.
- Washington County: https://www.washingtoncountyor.gov/commdev/wood-stove-exchange-program, read 3 November 2026.
- Nevada Division of Environmental Protection: https://ndep.nv.gov/air/air-pollutants/wood-stove-change-out-program, read 3 November 2026.
- New Hampshire Department of Energy: https://www.energy.nh.gov/renewable-energy/renewable-energy-rebates/residential-bulk-fed-wood-pellet-central-boilers-program, read 3 November 2026.
- Fairbanks North Star Borough: https://aqfairbanks.com/386/Change-Out-Programs, read 3 November 2026.
- Spokane Regional Clean Air Agency: https://spokanecleanair.org/burning/changeout/, read 3 November 2026.