IRS Carbon Capture Rules Likely to Include Definitions, Uses (1)

Businesses looking to take advantage of a newly expanded tax credit for capturing carbon dioxide before it enters the atmosphere should soon get a third and likely more substantial set of IRS guidance.

The proposed rules are expected to clarify the activities that qualify for the credit, as well as measurement and reporting requirements. The package arrived at the White House’s regulatory review office on Friday, according to its website, bringing it one step closer to public release.

The IRS in February released two pieces of guidance under tax code Section 45Q, about two years after a 2018 budget ...