Bioheat® Fuel Tax Credits

How can homeowners benefit from continuing to use Bioheat® fuel? Along with the fuel’s safe nature, technological advancements, environmental benefits, and low prices, alternative energy is a central topic of discussion. Bioheat® fuel is an alternative heating fuel that works with existing heating systems and offers homeowners an opportunity for greater savings. And as an added savings bonus, homeowners in New York can receive tax incentives for using Bioheat® fuel.

Earn Cash Back with Bioheat® Fuel Tax Incentives

There are several ways you can get money back in your pocket for heating your home with Bioheat® fuel. It’s another great reason to choose Bioheat® fuel for your home or business. If you heat with Bioheat® fuel in New York State, you can take advantage of several valuable incentives.

Get Money Back for Every Gallon of Bioheat® Fuel You Use

You can earn a tax credit of up to 20₵ per gallon for using Bioheat® fuel for space heating or water heating in your home in New York State. To qualify for this tax credit, you must meet the following criteria:

• You live in New York State
• You use Bioheat® fuel for space heating or water heating
• The Bioheat® fuel you use is at least 6% biodiesel

If you aren’t sure what blend of Bioheat® fuel you use, contact your fuel provider. Then, you can apply for the state tax credit here.

Receive a $600 Tax Credit for New Heating System Installations

When you invest in high-efficiency heating equipment and appliances, you save yourself major money and reduce your home’s emissions for years to come. Now, you can get immediate savings when you install a new B20 (Bioheat® fuel blend with 20% biodiesel) compatible furnace or boiler! Qualify for a federal tax credit up to $600 for…

• Equipment Placed in Service After December 31, 2022
  • Equipment must have 2021 Energy Star ratings (87 AFUE for oil boilers and 85 AFUE for furnaces) and be certified by the manufacturer to burn heating oil blended with a 20 percent biodiesel or renewable diesel fuel. This equipment is available now.
• Equipment Placed in Service After December 31, 2026
  • Equipment must have an AFUE of at least 90 percent and be certified for a 50 percent blend of biodiesel or renewable diesel fuel. This equipment will be made available in 2023.

Homeowners will be required to provide details on their heating system, as well as other information. To learn more about how you can apply for this tax credit, visit the IRS website or contact your local fuel provider for more information.