To amend the Internal Revenue Code of 1986 to increase and expand the credit for carbon oxide sequestration.

Bill: 117-hr-2633
Sponsor: full_name: Rep. Schweikert, David [R-AZ-6]
Introduced: 2021-04-16
Policy area: Taxation
Subjects: Air quality

Climate change and greenhouse gases

Income tax credits

Industrial facilities
Latest action: action_date: 2021-04-16
text: Referred to the House Committee on Ways and Means.

Summaries:
action_date: 2021-04-16
action_desc: Introduced in House
text: <p>This bill modifies the tax credit for carbon oxide sequestration. It increases the applicable dollar amount of such credit, repeals the placed-in-service deadline, expands the types of facilities to which the credit applies, and extends the credit period from 12 to 20 years.</p>

tv_txt: I 117th CONGRESS 1st Session H. R. 2633 IN THE HOUSE OF REPRESENTATIVES April 16, 2021 Mr. Schweikert (for himself, Mr. Wenstrup , and Mrs. Miller of West Virginia ) introduced the following bill; which was referred to the Committee on Ways and Means A BILL To amend the Internal Revenue Code of 1986 to increase and expand the credit for carbon oxide sequestration.

1. Improvements to credit for carbon oxide sequestration (a) Increase in applicable dollar amount Section 45Q(b)(1)(A) of the Internal Revenue Code of 1986 is amended— (1) in clause (i)(I) and (ii)(I), by striking $50 and inserting $85 , and (2) in clause (i)(II) and (ii)(II), by striking $35 and inserting $50 . (b) Repeal of placed-In-Service deadline; expansion of facilities to which credit applies Section 45Q(d) of such Code is amended to read as follows: (d) Qualified facility For purposes of this section, the term ‘qualified facility’ means any industrial facility or direct air capture facility which captures— (1) in the case of a facility which emits not more than 500,000 metric tons of carbon oxide into the atmosphere during the taxable year, not less than 10,000 metric tons of qualified carbon oxide during the taxable year which is utilized in a manner described in subsection (f)(5), (2) in the case of an electricity generating facility which is not described in paragraph (1), not less than 100,000 metric tons of qualified carbon oxide during the taxable year, (3) in the case of a direct air capture facility, not less than 10,000 metric tons of qualified carbon oxide during the taxable year, or (4) in the case of any facility not described in paragraph (1), (2), or (3), not less than 25,000 metric tons of qualified carbon oxide during the taxable year. . (c) Extension of credit period Paragraphs (3)(A) and (4)(A) of section 45Q(a) of such Code are each amended by striking 12-year and inserting 20-year . (d) Effective date The amendments made by this section shall apply to taxable years beginning after December 31, 2020.