CCU Parity Act of 2023

Subjects: Taxation

Summary:  <p> <strong>CCU Parity Act of 2023 </strong></p> This bill increases the tax credit for carbon capture and use to match incentives for carbon capture and sequestration for both direct air capture and the power and industrial sectors.

<html><body><pre>[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[S. 542 Introduced in Senate (IS)]

&lt;DOC&gt;






118th CONGRESS
  1st Session
                                 S. 542

 To amend the Internal Revenue Code of 1986 to increase the applicable 
dollar amount for qualified carbon oxide which is captured and utilized 
         for purposes of the carbon oxide sequestration credit.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                           February 28, 2023

 Mr. Whitehouse (for himself and Mr. Cassidy) introduced the following 
  bill; which was read twice and referred to the Committee on Finance

_______________________________________________________________________

                                 A BILL


 
 To amend the Internal Revenue Code of 1986 to increase the applicable 
dollar amount for qualified carbon oxide which is captured and utilized 
         for purposes of the carbon oxide sequestration credit.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``CCU Parity Act of 2023''.

SEC. 2. INCREASE APPLICABLE DOLLAR AMOUNT FOR QUALIFIED CARBON OXIDE 
              WHICH IS CAPTURED AND UTILIZED.

    (a) In General.--Section 45Q(b)(1)(A) of the Internal Revenue Code 
of 1986 is amended--
            (1) in clause (i), by striking subclause (II) and inserting 
        the following:
                                    ``(II) for purposes of paragraph 
                                (4) of such subsection--
                                            ``(aa) with respect to any 
                                        qualified carbon oxide which is 
                                        captured and used in the manner 
                                        described in clause (i) of 
                                        paragraph (4)(B) of such 
                                        subsection, $12, and
                                            ``(bb) with respect to any 
                                        qualified carbon oxide which is 
                                        captured and utilized in the 
                                        manner described in clause (ii) 
                                        of paragraph (4)(B) of such 
                                        subsection, $17, and'', and
            (2) in clause (ii), by striking subclause (II) and 
        inserting the following:
                                    ``(II) for purposes of paragraph 
                                (4) of such subsection--
                                            ``(aa) with respect to any 
                                        qualified carbon oxide which is 
                                        captured and used in the manner 
                                        described in clause (i) of 
                                        paragraph (4)(B) of such 
                                        subsection, an amount equal to 
                                        the product of $12 and the 
                                        inflation adjustment factor for 
                                        such calendar year determined 
                                        under section 43(b)(3)(B) for 
                                        such calendar year, determined 
                                        by substituting `2025' for 
                                        `1990', and
                                            ``(bb) with respect to any 
                                        qualified carbon oxide which is 
                                        captured and utilized in the 
                                        manner described in clause (ii) 
                                        of paragraph (4)(B) of such 
                                        subsection, an amount equal to 
                                        the product of $17 and the 
                                        inflation adjustment factor for 
                                        such calendar year determined 
                                        under section 43(b)(3)(B) for 
                                        such calendar year, determined 
                                        by substituting `2025' for 
                                        `1990'.''.
    (b) Effective Date.--The amendments made by this section shall 
apply to carbon oxide captured and utilized after December 31, 2023.
                                 &lt;all&gt;
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