,i  #aae? ,,congress  #a/ ,session  ,h4 
,r4 #cgfa  ,,9 ,,! ,,h\se ,,(           
,,repres5tatives  ,septemb] #ac1        
#bjag,mr4 ,conaway 7= himself1 ,mr4     
,brady ( ,p5nsylvania1 ,mr4 ,co/ello (  
,p5nsylvania1 ,mr4 ,mc,kinley1 ,mr4     
,cram]1 ,mr4 ,murphy ( ,p5nsylvania1    
,mr4 ,j5k9s ( ,we/ ,virg9ia1 ,mr4       
,pet]son1 ,mr4 ,tipton1 ,mr4 ,co/a1 ,mr4
 ,rodney ,davis ( ,ill9ois1 ,mr4 ,g5e   
,gre5 ( ,texas1 ,mr4 ,cole1 ,ms4 ,s9ema1
 ,mr4 ,hurd1 ,mr4 ,b>r1 ,mr4 ,bi%op (   
,georgia1 ,mr4 ,mool5a>1 ,mr4 ,mi*ael   
,f4 ,doyle ( ,p5nsylvania1 ,ms4         
,/efanik1 ,mr4 ,huiz5ga1 ,mr4 ,b>ton1   
,mr4 ,pe>ce1 ,mr4 ,bo/1 ,mr4 ,johnson ( 
,ohio1 ,mr4 ,veasey1 ,mr4 ,ad]holt1 ,ms4
 ,kaptur1 ,mr4 ,curbelo ( ,florida1 &   
,mr4 ,hudson7 introduc$ ! foll[+ bill2  
:i* 0 ref]r$ to ! ,committee on ,ways & 
,means  ,a ,,bill  ,to am5d ! ,int]nal  
,rev5ue ,code ( #aihf to improve & ext5d
 ! cr$it = c>bon dioxide seque/ration4  
#a4 ,%ort title ,?is ,act may be cit$ z 
! ,c>bon ,capture ,act4  #b4 ,ext5sion (

 enhanc$ c>bon dioxide seque/ration     
cr$it  7a7 ,9 g5]al ,section #de,q ( !  
,int]nal ,rev5ue ,code ( #aihf is am5d$ 
to read z foll[s3  #de,q4 ,cr$it = c>bon
 dioxide seque/ration  7a7 ,g5]al rule  
,= purposes ( section #ch1 ! c>bon      
dioxide seque/ration cr$it = any taxable
 ye> is an am\nt equal to ! sum (--     
7#a7 #bj p] metric ton ( qualifi$ c>bon 
dioxide :i* is-- 7,a7 captur$ by !      
taxpay] us+ c>bon capture equipm5t :i*  
is orig9ally plac$ 9 s]vice at a        
qualifi$ facility be=e ! date ( !       
enactm5t ( ! ,c>bon ,capture ,act1 &    
7,b7 dispos$ ( by ! taxpay] 9 secure    
geological /orage & n us$ by ! taxpay] z
 describ$ 9 p>agraph 7#b77;,b71  7#b7   
#aj p] metric ton ( qualifi$ c>bon      
dioxide :i* is-- 7,a7 captur$ by !      
taxpay] us+ c>bon capture equipm5t :i*  
is orig9ally plac$ 9 s]vice at a        
qualifi$ facility be=e ! date ( !       
enactm5t ( ! ,c>bon ,capture ,act1 &    
7,b7  7i7 us$ by ! taxpay] z a t]ti>y   
injectant 9 a qualifi$ enhanc$ oil or   

natural gas recov]y project & dispos$ ( 
by ! taxpay] 9 secure geological /orage1
 or  7ii7 utiliz$ by ! taxpay] 9 a mann]
 describ$ 9 subsection 7e77#g71  7#c7 ! 
applicable doll> am\nt p] metric ton (  
qualifi$ c>bon dioxide :i* is--  7,a7   
captur$ by ! taxpay] us+ c>bon capture  
equipm5t :i* is orig9ally plac$ 9 s]vice
 at a qualifi$ facility on or aft] !    
date ( ! enactm5t ( ! ,c>bon ,capture   
,act1 dur+ ! #ae-ye> p]iod beg9n+ on !  
date ! equipm5t 0 orig9ally plac$ 9     
s]vice1 &  7,b7 dispos$ ( by ! taxpay] 9
 secure geological /orage & n us$ by !  
taxpay] z describ$ 9 p>agraph 7#d77;,b71
 &  7#d7 ! applicable doll> am\nt p]    
metric ton ( qualifi$ c>bon dioxide :i* 
is-- 7,a7 captur$ by ! taxpay] us+ c>bon
 capture equipm5t :i* is orig9ally plac$
 9 s]vice at a qualifi$ facility on or  
aft] ! date ( ! enactm5t ( ! ,c>bon     
,capture ,act1 dur+ ! #ae-ye> p]iod     
beg9n+ on ! date ! equipm5t 0 orig9ally 
plac$ 9 s]vice1 &  7,b7  7i7 us$ by !   
taxpay] z a t]ti>y injectant 9 a        

qualifi$ enhanc$ oil or natural gas     
recov]y project & dispos$ ( by ! taxpay]
 9 secure geological /orage1 or  7ii7   
utiliz$ by ! taxpay] 9 a mann] describ$ 
9 subsection 7e77#g74  ,a taxpay] t     
captures qualifi$ c>bon dioxide z       
provid$ "u p>agraph 7#a71 7#b71 7#c7 or 
7#d7 & t ent]s into contractual         
arrangem5ts ) ano!r p]son to ensure !   
disposal1 use1 or utilization requir$ "u
 p>agraph 7#a71 7#b71 7#c7 or 7#d71 z ! 
case may be1 %all be treat$ z hav+      
dispos$1 captur$1 or us$ su* qualifi$   
c>bon dioxide to ! ext5t dispos$1       
captur$1 or us$ by su* o!r p]sons       
pursuant to su* contractual arrangem5ts4
  7b7 ,applicable doll> am\nt2          
additional equipm5t2 election  7#a7     
,applicable doll> am\nt ,= purposes (   
subsection 7a7--  7,a7 ,9 g5]al ,!      
applicable doll> am\nt %all be an am\nt 
equal to-- 7i7 = taxable ye>s beg9n+    
aft] #bjaf & be=e #bjbf1 ! doll> am\nt  
e/abli%$ by l9e> int]polation betwe5    
#ab4hc & #ce = ea* cal5d> ye> dur+ su*  

p]iod1 &  7ii7 = taxable ye>s beg9n+    
aft] #bjbe1 an am\nt equal to ! product 
( #ce & ! inflation adju/m5t factor =   
su* cal5d> ye> det]m9$ "u section       
#dc7;b77#c77;,b7 = su* cal5d> ye>1      
det]m9$ by sub/itut+ #bjbd = #aiij4     
7,b7 ,r\nd+ ,! applicable doll> am\nt   
det]m9$ "u subp>agraph 7,a7 %all be     
r\nd$ to ! ne>e/ c5t4  7#b7 ,in/allation
 ( additional c>bon capture equipm5t on 
exi/+ qualifi$ facility ,9 ! case ( a   
qualifi$ facility plac$ 9 s]vice be=e ! 
date ( ! enactm5t ( ! ,c>bon ,capture   
,/orage ,act1 = :i* additional c>bon    
capture equipm5t is plac$ 9 s]vice on or
 aft] ! date ( ! enactm5t ( su* ,act1 ! 
am\nt ( qualifi$ c>bon dioxide :i* is   
captur$ by ! taxpay] %all be equal to-- 
7,a7 = purposes ( p>agraphs 7#a77;,a7 & 
7#b77;,a7 ( subsection 7a71 ! less] (-- 
7i7 ! total am\nt ( qualifi$ c>bon      
dioxide captur$ at su* facility = !     
taxable ye>1 or  7ii7 ! total am\nt ( ! 
c>bon dioxide capture capacity ( ! c>bon
 capture equipm5t 9 s]vice at su*       

facility on ! day be=e ! date ( !       
enactm5t ( ! ,c>bon ,capture ,act1 &    
7,b7 = purposes ( p>agraphs 7#c77;,a7 & 
7#d77;,a7 ( su* subsection1 an am\nt    
equal to ! excess 7if any7 (--  7i7 !   
am\nt describ$ 9 subp>agraph 7,a77i71   
ov]  7ii7 ! am\nt describ$ 9 subp>agraph
 7,a77ii74  7#c7 ,election ,= purposes (
 det]m9+ ! c>bon dioxide seque/ration   
cr$it "u ?is section1 a taxpay] may     
elect to h ! doll> am\nt applicable "u  
p>agraph 7#a7 or 7#b7 ( subsection 7a7  
apply 9 lieu ( ! doll> am\nts applicable
 "u p>agraph 7#c7 or 7#d7 ( su*         
subsection = ea* metric ton ( qualifi$  
c>bon dioxide :i* is captur$ by !       
taxpay] us+ c>bon capture equipm5t :i*  
is orig9ally plac$ 9 s]vice at a        
qualifi$ facility on or aft] ! date ( ! 
enactm5t ( ! ,c>bon ,capture ,act4  7c7 
,qualifi$ c>bon dioxide ,= purposes (   
?is section3 7#a7 ,9 g5]al ,! t]m       
qualifi$ c>bon dioxide means c>bon      
dioxide or o!r c>bon oxides captur$--   
7,a7  7i7 f an indu/rial s\rce :i* w\ld 

o!rwise be releas$ into ! atmosph]e z   
indu/rial emission ( gre5h\se gas1 or   
w\ld o!rwise lead to su* release1 or    
7ii7 directly f ! ambi5t air1 &  7,b7 is
 measur$ at ! s\rce ( capture & v]ifi$  
at ! po9t ( disposal1 injection1 or     
utilization4  7#b7 ,recycl$ c>bon       
dioxide ,! t]m qualifi$ c>bon dioxide   
includes ! initial deposit ( captur$    
c>bon dioxide us$ z a t]ti>y injectant4 
,su* t]m does n include c>bon dioxide t 
is recaptur$1 recycl$1 & re-inject$ z "p
 ( ! enhanc$ oil & natural gas recov]y  
process4  7d7 ,qualifi$ facility ,=     
purposes ( ?is section1 ! t]m qualifi$  
facility means any indu/rial facility or
 direct air capture facility-- 7#a7 !   
con/ruction ( :i* beg9s be=e ,janu>y #a1
 #bjbd1 &--  7,a7 ! orig9al plann+ &    
design = su* facility includes          
in/allation ( c>bon capture equipm5t1 or
  7,b7 ! con/ruction ( c>bon capture    
equipm5t ) respect to su* facility beg9s
 be=e su* date1 &  7#b7 :i* captures--  
7,a7 9 ! case ( a facility :i* emits n m

 ?an #ejj1jjj metric tons ( c>bon       
dioxide into ! atmosph]e dur+ ! taxable 
ye>1 n less ?an #be1jjj metric tons (   
qualifi$ c>bon dioxide dur+ ! taxable   
ye> :i* is utiliz$ 9 a mann] describ$ 9 
subsection 7e77#g71 or  7,b7 9 ! case ( 
a facility n describ$ 9 subp>agraph     
7,a71 n less ?an #ajj1jjj metric tons ( 
qualifi$ c>bon dioxide dur+ ! taxable   
ye>4  7e7 ,special rules & o!r          
def9itions ,= purposes ( ?is section--  
7#a7 ,only c>bon dioxide captur$ &      
secur$ or us$ )9 ! ,unit$ ,/ates tak5   
into acc\nt ,! cr$it "u ?is section %all
 apply only ) respect to qualifi$ c>bon 
dioxide ! capture & disposal1 use1 or   
utilization ( :i* is )9--  7,a7 ! ,unit$
 ,/ates 7)9 ! mean+ ( section #fch7a771 
or  7,b7 a possession ( ! ,unit$ ,/ates 
7)9 ! mean+ ( section #fch7b774  7#b7   
,secure geological /orage ,! ,secret>y1 
9 consultation ) ! ,adm9i/rator ( !     
,environm5tal ,protection ,ag5cy1 !     
,secret>y ( ,en]gy1 & ! ,secret>y ( !   
,int]ior1 %all e/abli% regulations =    

det]m9+ adequate security measures = !  
geological /orage ( qualifi$ c>bon      
dioxide "u subsection 7a7 su* t !       
qualifi$ c>bon dioxide does n escape    
into ! atmosph]e4 ,su* t]m %all include 
/orage at deep sal9e =mations1 oil & gas
 res]voirs1 & unm9able coal seams "u su*
 conditions z ! ,secret>y may det]m9e "u
 su* regulations4  7#c7 ,t]ti>y         
injectant ,! t]m t]ti>y injectant has ! 
same mean+ z :5 us$ )9 section          
#aic7;b77#a74  7#d7 ,qualifi$ enhanc$   
oil or natural gas recov]y project ,!   
t]m qualifi$ enhanc$ oil or natural gas 
recov]y project has ! mean+ giv5 ! t]m  
qualifi$ enhanc$ oil recov]y project by 
section #dc7;c77#b71 by sub/itut+ crude 
oil or natural gas = crude oil 9        
subp>agraph 7,a77i7 !re(4  7#e7 ,cr$it  
attributable to taxpay]  7,a7 ,9 g5]al  
,except z provid$ subp>agraph 7,b7 or 9 
any regulations prescrib$ by !          
,secret>y1 any cr$it "u ?is section %all
 be attributable to--  7i7 9 ! case (   
qualifi$ c>bon dioxide captur$ us+ c>bon

 capture equipm5t :i* is orig9ally plac$
 9 s]vice at a qualifi$ facility be=e ! 
date ( ! enactm5t ( ! ,c>bon ,capture   
,act1 ! p]son t captures & physically or
 contractually ensures ! disposal1      
utilization1 or use z a t]ti>y injectant
 ( su* qualifi$ c>bon dioxide1 &  7ii7 9
 ! case ( qualifi$ c>bon dioxide captur$
 us+ c>bon capture equipm5t :i* is      
orig9ally plac$ 9 s]vice at a qualifi$  
facility on or aft] ! date ( ! enactm5t 
( ! ,c>bon ,capture ,act1 or ) reg>d to 
:i* an election has be5 made "u         
subsection 7f77#b71 ! p]son t owns !    
c>bon capture equipm5t & physically or  
contractually ensures ! capture &       
disposal1 utilization1 or use z a t]ti>y
 injectant ( su* qualifi$ c>bon dioxide4
  7,b7 ,election ,if ! p]son describ$ 9 
subp>agraph 7,a7 makes an election "u   
?is subp>agraph at su* "t & 9 su* mann] 
z ! ,secret>y may prescribe by          
regulations1 ! cr$it "u ?is section--   
7i7 %all be all[able to ! p]son t       
disposes ( ! qualifi$ c>bon dioxide1    

utilizes ! qualifi$ c>bon dioxide1 or   
uses ! qualifi$ c>bon dioxide z a t]ti>y
 injectant1 &  7ii7 %all n be all[able  
to ! p]son describ$ 9 subp>agraph 7,a74 
7#f7 ,recapture ,! ,secret>y %all1 by   
regulations1 provide = recaptur+ !      
b5efit ( any cr$it all[able "u          
subsection 7a7 ) respect to any qualifi$
 c>bon dioxide :i* ceases to be captur$1
 dispos$ (1 or us$ z a t]ti>y injectant 
9 a mann] consi/5t ) ! requirem5ts ( ?is
 section4  7#g7 ,utilization ( qualifi$ 
c>bon dioxide  7,a7 ,9 g5]al ,= purposes
 ( ?is section1 utilization ( qualifi$  
c>bon dioxide means-- 7i7 ! *emical     
conv]sion ( su* qualifi$ c>bon dioxide  
to a mat]ial or *emical comp\nd 9 :i*   
su* qualifi$ c>bon dioxide is securely  
/or$1 or  7ii7 ! use ( su* qualifi$     
c>bon dioxide = any o!r purpose = :i* a 
comm]cial m>ket exi/s 7o!r ?an use z a  
t]ti>y injectant 9 a qualifi$ enhanc$   
oil or natural gas recov]y project71 z  
det]m9$ by ! ,secret>y4  7,b7           
,measurem5t ,= purposes ( det]m9+ !     

am\nt ( qualifi$ c>bon dioxide utiliz$  
by ! taxpay] "u p>agraph 7#b77;,b77ii7  
or 7#d77;,b77ii7 ( subsection 7a71 su*  
am\nt %all be equal to ! metric tons (  
c>bon dioxide :i* ! taxpay] demon/rates1
 bas$ ^u an analysis ( lifecycle        
gre5h\se gas emissions & subject to su* 
requirem5ts z ! ,secret>y1 9            
consultation ) ! ,secret>y ( ,en]gy & ! 
,adm9i/rator ( ! ,environm5tal          
,protection ,ag5cy1 det]m9es            
appropriate1 7 captur$ & prev5t$ f      
escap+ into ! atmosph]e ?r\gh use ( a   
process describ$ 9 subp>agraph 7,a74    
7#h7 ,direct air capture facility ,=    
purposes ( ?is section1 ! t]m direct air
 capture facility means any facility :i*
 uses c>bon capture equipm5t to capture 
c>bon f ! ambi5t air4 ,su* a t]m does n 
include facilities captur+ c>bon dioxide
 t is delib]ately releas$ f             
naturally-occurr+ subsurface spr+s4     
7#i7 ,inflation adju/m5t ,9 ! case ( any
 taxable ye> beg9n+ 9 a cal5d> ye> aft] 
#bjji1 !re %all be sub/itut$ = ! doll>  

am\nt conta9$ 9 p>agraphs 7#a7 & 7#b7 ( 
subsection 7a7 an am\nt equal to !      
product (--  7,a7 su* doll> am\nt1      
multipli$ by  7,b7 ! inflation adju/m5t 
factor = su* cal5d> ye> det]m9$ "u      
section #dc7;b77#c77;,b7 = su* cal5d>   
ye>1 det]m9$ by sub/itut+ #bjjh = #aiij4
  7f7 ,application ( section = c]ta9    
c>bon capture equipm5t  7#a7 ,9 g5]al   
,except z provid$ 9 p>agraph 7#b71 9 !  
case ( any c>bon capture equipm5t plac$ 
9 s]vice be=e ! date ( ! enactm5t ( !   
,c>bon ,capture ,act1 ! cr$it "u ?is    
section %all apply ) respect to qualifi$
 c>bon dioxide captur$ us+ su* equipm5t 
be=e ! end ( ! cal5d> ye> 9 :i* !       
,secret>y1 9 consultation ) !           
,adm9i/rator ( ! ,environm5tal          
,protection ,ag5cy1 c]tifies t          
#ge1jjj1jjj metric tons ( qualifi$ c>bon
 dioxide h be5 tak5 into acc\nt 9       
accordance ) p>agraphs 7#a7 & 7#b7 (    
subsection 7a7 dur+ ! p]iod beg9n+ aft] 
,octob] #c1 #bjjh4  7#b7 ,special rule =
 c]ta9 facilities n claim+ prior cr$it  

,9 ! case ( any qualifi$ facility-- 7,a7
 :i* captures n less ?an #ajj1jjj metric
 tons ( c>bon dioxide dur+ ! taxable    
ye>1  7,b7 :i* is plac$ 9 s]vice aft]   
,decemb] #ca1 #bjae1 &  7,c7 ) respect  
to :i* no cr$it has be5 all[$ "u ?is    
section 7z 9 effect on ! day be=e ! date
 ( ! enactm5t ( su* ,act7 by any p]son =
 any taxable ye> beg9n+ prior to ! date 
( enactm5t ( su* ,act1  ! taxpay] may   
elect to treat su* qualifi$ facility z  
plac$ 9 s]vice on ! date ( enactm5t (   
su* ,act4  7g7 ,regulations ,! ,secret>y
 may prescribe su* regulations & o!r    
guidance z may be necess>y or           
appropriate to c>ry out ?is section1    
includ+ regulations or o!r guidance to--
  7#a7 ensure prop] allocation "u       
subsection 7a7 = qualifi$ c>bon dioxide 
captur$ by a taxpay] dur+ ! taxable ye> 
end+ aft] ! date ( ! enactm5t ( ! ,c>bon
 ,capture ,act1 &  7#b7 det]m9e :e!r a  
facility satisfies ! requirem5ts "u     
subsection 7d77#a7 dur+ su* taxable ye>4
  4  7b7 ,effective date ,except to !   

ext5t provid$ 9 section #de,q7f7 ( su*  
,code1 z am5d$ by ?is ,act1 ! am5dm5ts  
made by ?is section %all apply to       
prop]ty plac$ 9 s]vice on aft] ! date ( 
! enactm5t ( ?is ,act4