Wood-Burning Heating System Deduction

February 14, 2024

Summary

This statute allows individual taxpayers a deduction for the purchase and installation of a wood-burning heating system. The deduction is equal to the total cost of purchase and installation for the conversion from gas or electricity to wood when the system is used as the primary energy source for heating a home. The deduction must be taken for the taxable year during which the conversion was completed. Note that this incentive is for the conversion of an existing system and not for the first-time installation of a wood-burning system.

Program Overview

Implementing Sector: State
Category: Financial Incentive
State: Alabama
Incentive Type: Personal Tax Deduction
Web Site:
Administrator:
Start Date:
Eligible Renewable/Other Technologies:
  • Biomass
Incentive Amount: 100%
Maximum Incentive: None

Authorities

Name: Code of Ala. 40-18-15 (16)

Contact

Name: General Information
Organization: Alabama Revenue Department
Address: 50 Ribley St.
Montgomery AL 36132
Phone: (334) 242-1170

This information is sourced from DSIRE; the most comprehensive source of information on incentives and policies that support renewables and energy efficiency in the United States. Established in 1995, DSIRE is operated by the N.C. Clean Energy Technology Center at N.C. State University.