The Carbon Utilization Research Council (CURC) applauds the Treasury Department (Treasury) and the Internal Revenue Service (IRS) issuance of proposed regulations (REG-112339) for the §45Q, Credit for Carbon Oxide Sequestration, of the Internal Revenue Code (Title 26 of U.S. Code). The proposed regulations provide guidance on the issues that interested parties identified as priorities in comments submitted in response to IRS Notice 2019-32, including the definition of secure geologic storage, utilization and recapture of the credit, contract requirements, credit transferability, and other key definitions. We look forward to responding to Treasury and IRS to ensure that the finalized rulemaking most effectively incentivizes CCUS project development.
For more information on the proposed regulations, please click here.