,i  #aag? ,,congress  #b;d ,session  ,h4
 ,r4 #iaba  ,,9 ,,! ,,h\se ,,(          
,,repres5tatives  ,septemb] #cj1        
#bjbb,mr4 ,ryan ( ,ohio introduc$ !     
foll[+ bill2 :i* 0 ref]r$ to !          
,committee on ,ways & ,means  ,a ,,bill 
,to am5d ! ,int]nal ,rev5ue ,code (     
#aihf to e/abli% a tax cr$it = abatem5t 
& seque/ration ( c>bon dioxide equival5t
 ?r\gh agricultural me?ods4  #a4 ,%ort  
title ,?is ,act may be cit$ z !         
,qualifi$ ,agricultural ,c>bon          
,seque/ration ,act ( #bjbb4  #b4        
,qualifi$ agricultural c>bon            
seque/ration cr$it  7a7 ,9 g5]al ,subp>t
 ,d ( "p ,,iv ( sub*apt] ,a ( *apt] #a (
 ! ,int]nal ,rev5ue ,code ( #aihf is    
am5d$ by ins]t+ aft] section #de,z !    
foll[+ new section3  #de;,,aa4 ,qualifi$
 agricultural c>bon seque/ration cr$it  
7a7 ,9 g5]al ,= purposes ( section #ch1 
9 ! case ( a qualifi$ applicant1 !      
qualifi$ agricultural c>bon seque/ration
 cr$it = ! taxable ye> is an am\nt equal
 to ! sum (-- 7#a7 ! c>bon dioxide      

equival5t abatem5t cr$it1  7#b7 ! c>bon 
dioxide equival5t seque/ration cr$it1 & 
7#c7 ! e>ly adopt] cr$it4  7b7 ,c>bon   
dioxide equival5t abatem5t cr$it  7#a7  
,9 g5]al ,! am\nt ( ! c>bon dioxide     
equival5t abatem5t cr$it = ! taxable ye>
 %all be equal to ! applicable doll>    
am\nt p] metric ton ( qualifi$ c>bon    
dioxide equival5t abatem5t by a qualifi$
 applicant4  7#b7 ,qualifi$ c>bon       
dioxide equival5t abatem5t ,= purposes (
 ?is subsection1 ! t]m qualifi$ c>bon   
dioxide equival5t abatem5t means ! am\nt
 7n less ?an z]o7 equal to-- 7,a7 !     
am\nt ( c>bon dioxide equival5t emitt$  
into ! atmosph]e by ! qualifi$ applicant
 dur+ ! c\nt]factual basel9e ye>1 m9us  
7,b7 ! am\nt ( c>bon dioxide equival5t  
emitt$ into ! atmosph]e by su* f>m dur+ 
! taxable ye>4  7#c7 ,applicable doll>  
am\nt  7,a7 ,= purposes ( ?is           
subsection1 ! applicable doll> am\nt    
%all be an am\nt equal to-- 7i7 = any   
taxable ye> beg9n+ 9 a cal5d> ye> aft]  
#bjbb & be=e #bjbg1 ! doll> am\nt       

e/abli%$ by l9e> int]polation betwe5    
#bb4ff & #ej = ea* cal5d> ye> dur+ su*  
p]iod1 &  7ii7 = any taxable ye> beg9n+ 
9 a cal5d> ye> aft] #bjbf1 an am\nt     
equal to ! product ( #ej & ! inflation  
adju/m5t factor det]m9$ "u section      
#dc7;b77#c77;,b7 = su* cal5d> ye>1      
det]m9$ by sub/itut+ #bjbe = #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#d7 ,limitation 
,= purposes ( ?is subsection1 ! c>bon   
dioxide equival5t abatem5t cr$it %all   
only be all[$ 9 ea* taxable ye>         
subsequ5t to ! c\nt]factual basel9e ye>4
  7c7 ,c>bon dioxide equival5t          
seque/ration cr$it  7#a7 ,9 g5]al ,!    
am\nt ( ! c>bon seque/ration cr$it = any
 taxable ye> %all be an am\nt equal to !
 sum (-- 7,a7 ! qualify+ am\nt1 plus    
7,b7 an am\nt equal to ! sum ( any c>bon
 seque/ration allotm5t = su* taxable    
ye>4  7#b7 ,qualify+ am\nt ,= purposes (
 ?is subsection1 ! t]m qualify+ am\nt   
means-- 7,a7 9 ! case ( a taxable ye> = 

:i* qualifi$ c>bon seque/ration by a    
qualifi$ applicant is great] ?an z]o1   
#aj p]c5t ( ! applicable doll> am\nt p] 
metric ton ( su* qualifi$ c>bon         
seque/ration by su* applicant1 &  7,b7 9
 ! case ( a taxable ye> = :i* qualifi$  
c>bon seque/ration by a qualifi$        
applicant is equal to or less ?an z]o1  
#j p]c5t ( su* applicable doll> am\nt4  
7#c7 ,applicable doll> am\nt  7,a7 ,9   
g5]al ,! applicable doll> am\nt %all be 
an am\nt equal to-- 7i7 = any taxable   
ye> beg9n+ 9 a cal5d> ye> aft] #bjbb &  
be=e #bjbg1 ! doll> am\nt e/abli%$ by   
l9e> int]polation betwe5 #ab4hc & #ce = 
ea* cal5d> ye> dur+ su* p]iod1 &  7ii7 =
 any taxable ye> beg9n+ 9 a cal5d> ye>  
aft] #bjbf1 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+ #bjbe = #aiij4     
7,b7 ,r\nd+ ,! applicable doll> am\nt   
det]m9$ "u p>agraph 7#a7 %all be r\nd$  
to ! ne>e/ c5t4  7#d7 ,c>bon            

seque/ration allotm5t ,= purposes ( ?is 
subsection1 ! t]m c>bon seque/ration    
allotm5t means1 = ea* ( ! #i taxable    
ye>s subsequ5t to any taxable ye>       
describ$ 9 p>agraph 7#a77;,a71 an am\nt 
equal to ! am\nt describ$ 9 su*         
p>agraph4  7#e7 ,qualifi$ c>bon         
seque/ration  7,a7 ,9 g5]al ,= purposes 
( ?is subsection1 ! t]m qualifi$ c>bon  
seque/ration means ! am\nt 7n less ?an  
z]o7 equal to-- 7i7 ! /ock ( soil       
organic c>bon /or$ 9 ! soil ( ! qualifi$
 f>m dur+ ! taxable ye>1 m9us  7ii7 !   
/ock ( soil organic c>bon /or$ 9 ! soil 
( su* f>m dur+ ! prec$+ taxable ye>4    
7,b7 ,fir/ ye> ,= purposes ( ! fir/     
taxable ye> beg9n+ aft] ! date on :i* a 
taxable entity aft] ! date ! taxpay]    
becomes a qualifi$ applicant1 ! taxable 
ye> describ$ 9 subp>agraph 7,a77ii7 %all
 be ! c\nt]factual basel9e ye>4  7#f7   
,recapture ,! ,secret>y %all1 by        
regulations1 provide = recaptur+ !      
b5efit ( any c>bon seque/ration cr$it   
all[able "u ?is subsection ) respect to 

any c>bon :i* ceases to be seque/]$ 9 a 
mann] consi/5t ) ! requirem5ts "u ?is   
section = a p]iod ( n less ?an #aj ye>s4
  7d7 ,e>ly adopt] cr$it  7#a7 ,9 g5]al 
,! am\nt ( ! e>ly adopt] cr$it = any    
taxable ye> %all be an am\nt equal to ! 
applicable doll> am\nt p] metric ton (  
e>ly adopt] c>bon seque/ration4  7#b7   
,e>ly adopt] c>bon seque/ration ,=      
purposes ( ?is subsection1 ! t]m e>ly   
adopt] c>bon seque/ration means ! am\nt 
7n less ?an z]o7 equal to-- 7,a7 ! /ock 
( soil organic c>bon /or$ 9 ! soil ( !  
qualifi$ f>m dur+ ! taxable ye>1 m9us   
7,b7 ! av]age /ock ( soil organic c>bon 
/or$ 9 ! soil ( o!r f>ms 9 ! c\nty 9 :i*
 su* qualifi$ f>m is locat$ dur+ !      
taxable ye>4  7#c7 ,cr$it may be tak5   
only once ,! cr$it "u ?is subsection may
 only be tak5 ) respect to a qualifi$   
f>m 9 ! fir/ ye> a cr$it is all[$ to su*
 f>m "u ?is section4  7#d7 ,applicable  
doll> am\nt  7,a7 ,9 g5]al ,! applicable
 doll> am\nt %all be an am\nt equal to--
 7i7 = any taxable ye> beg9n+ 9 a cal5d>

 ye> aft] #bjbb & be=e #bjbg1 ! doll>   
am\nt e/abli%$ by l9e> int]polation     
betwe5 #ab4hc & #ce = ea* cal5d> ye>    
dur+ su* p]iod1 &  7ii7 = any taxable   
ye> beg9n+ 9 a cal5d> ye> aft] #bjbf1 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+  
#bjbe = #aiij4  7,b7 ,r\nd+ ,!          
applicable doll> am\nt det]m9$ "u       
p>agraph 7#a7 %all be r\nd$ to ! ne>e/  
c5t4  7e7 ,qualifi$ applicant ,=        
purposes ( ?is section1 ! t]m qualifi$  
applicant means a f>m 7includ+ ! taxpay]
 ) op]ational control ov] seque/ration  
on su* f>m1 or a ?ird p>ty project      
develop] or aggregator act+ on !        
taxpay]'s behalf7 :i* has be5 c]tifi$ by
 ! ,secret>y pursuant to subsection 7f74
  7f7 ,qualifi$ agricultural c>bon      
seque/ration & abatem5t program  7#a7 ,9
 g5]al ,n lat] ?an #ahj days aft] ! date
 ( enactm5t ( ?is section1 ! ,secret>y1 
aft] consultation ) ! ,secret>y (       

,agriculture1 %all e/abli% a qualifi$   
agricultural c>bon seque/ration &       
abatem5t program to consid] & aw>d      
c]tifications = qualifi$ applicants     
eligible = cr$its "u ?is section4  7#b7 
,application ,an applicant "u ?is       
subsection %all submit an application   
conta9+ su* in=mation z ! ,secret>y may 
require1 includ+ in=mation requir$ = !  
selection describ$ 9 p>agraph 7#c74     
7#c7 ,selection ,9 det]m9+ :i*          
applicants to c]tify "u ?is subsection1 
! ,secret>y %all d ! foll[+3 7,a7       
,c]tify ! mann] & me?ods by :i* !       
taxpay] w measure ! am\nt ( c>bon       
dioxide equival5t abatem5t &            
seque/ration4 ,su* mann] & me?ods %all  
be consi/5t ) curr5t be/ practices1 )   
measur$ *anges indep5d5tly v]ifi$ by !  
,secret>y ( ,agriculture z-- 7i7 real1  
7ii7 additional1  7iii7 bas$ on a       
reali/ic & cr$ible basel9e1  7iv7       
quantifi$1 monitor$1 report$1 & v]ifi$1 
7v7 hav+ a cle> & transp>5t *a9 (       
cu/ody1  7vi7 repres5t+ p]man5t         

emissions r$uctions1  7vii7 assess$ &   
mitigat$ aga9/ pot5tial increase 9      
emissions else:]e1  7viii7 only c\nt$   
once t[>ds a mitigation obligation1 &   
7ix7 caus+ no net h>m4  7,b7 ,assess &  
approve indep5d5t gre5h\se gas cr$it+   
programs :i* regi/] projects & cr$its   
involv+ qualifi$ f>ms4  7#d7 #e-ye>     
c]tification ,a c]tification "u p>agraph
 7#c7 %all be valid = a p]iod ( #e ye>s 
aft] ! date su* c]tification is issu$4  
7g7 ,c\nt]factual basel9e ye> ,=        
purposes ( ?is section1 ! t]m           
c\nt]factual basel9e ye> means ! ye> 9  
:i* ! ,secret>y c]tifies a qualifi$     
applicant "u subsection 7f74  7h7       
,requirem5ts reg>d+ c>bon dioxide       
equival5t ,! cr$it "u ?is section %all  
apply only ) respect to c>bon dioxide   
equival5t ! abatem5t or seque/] ( :i*   
is-- 7#a7 )9 ! ,unit$ ,/ates or a       
possession ( ! ,unit$ ,/ates1 &  7#b7   
measur$ on a qualifi$ f>m & v]ifi$ us+ !
 me?ods or indep5d5t gre5h\se gas cr$it+
 programs c]tifi$ by ! ,secret>y "u     

subsection 7f77#c74  7i7 ,regulations ,n
 lat] ?an #ad mon?s aft] ! date (       
enactm5t ( ?is section1 ! ,secret>y     
%all1 aft] consultation ) ! ,secret>y ( 
,agriculture1 prescribe su* regulations 
& guidance z may be necess>y or         
appropriate to c>ry out ?is section1    
includ+ regulations or guidance to--    
7#a7 e/abli% ! me?od & frequ5cy by :i*  
soil samples are tak5 f qualifi$ f>ms to
 det]m9e ! am\nt ( c>bon :i* is seque/]$
 9 ! soil ( su* f>ms1  7#b7 provide     
rules = ! treatm5t ( cr$its 9 cases :]e 
a qualifi$ f>m is sold or transf]r$ to  
ano!r p]son subsequ5t to ! basel9e ye>1 
&  7#c7 provide rules = ! e>ly adopt]   
cr$it 9 subsection 7d74  4  7b7 ,con=m+ 
am5dm5ts  7#a7 ,section #ch7;b7 ( su*   
,code is am5d$ by /rik+ plus at ! end ( 
p>agraph 7#cg71 by /rik+ ! p]iod at !   
end ( p>agraph 7#ch7 & ins]t+ 1 plus1 & 
by add+ at ! end ! foll[+ new p>agraph3 
7#ci7 ! qualifi$ agricultural c>bon     
seque/ration cr$it det]m9$ "u section   
#de;,,aa7a74  4  7#b7 ,! table (        

sections = subp>t ,d ( "p ,,iv (        
sub*apt] ,a ( *apt] #a ( su* ,code is   
am5d$ by ins]t+ aft] ! item relat+ to   
section #de,z ! foll[+ new item3  ,sec4 
#de;,,aa4 ,qualifi$ agricultural c>bon  
seque/ration cr$it4  4  7c7 ,effective  
date ,! am5dm5ts made by ?is section    
%all apply to taxable ye>s beg9n+ aft]  
,decemb] #ca1 #bjbb4