[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1062 Introduced in House (IH)]

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117th CONGRESS
  1st Session
                                H. R. 1062

   To amend the Internal Revenue Code of 1986 to extend and allow an 
   elective payment of the tax credit for carbon oxide sequestration.


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                    IN THE HOUSE OF REPRESENTATIVES

                           February 15, 2021

  Mr. McKinley (for himself and Mr. Veasey) introduced the following 
      bill; which was referred to the Committee on Ways and Means

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                                 A BILL


 
   To amend the Internal Revenue Code of 1986 to extend and allow an 
   elective payment of the tax credit for carbon oxide sequestration.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Accelerating Carbon Capture and 
Extending Secure Storage through 45Q Act'' or as the ``ACCESS 45Q 
Act''.

SEC. 2. EXTENSION OF CREDIT FOR CARBON OXIDE SEQUESTRATION.

    Section 45Q(d)(1) of the Internal Revenue Code of 1986 is amended 
by striking ``January 1, 2026'' and inserting ``January 1, 2036''.

SEC. 3. ELECTIVE PAYMENT FOR CARBON OXIDE SEQUESTRATION.

    (a) In General.--Subchapter B of chapter 65 of the Internal Revenue 
Code of 1986 is amended by adding at the end the following new section:

``SEC. 6431. ELECTIVE PAYMENT FOR CARBON OXIDE SEQUESTRATION.

    ``(a) In General.--In the case of a taxpayer making an election (at 
such time and in such manner as the Secretary may provide) under this 
section with respect to any portion of a carbon oxide sequestration 
credit which would (without regard to this section) be determined under 
section 45Q with respect to such taxpayer, such taxpayer shall be 
treated as making a payment against the tax imposed by subtitle A for 
the taxable year equal to the amount of such portion.
    ``(b) Limitation.--The portion of a carbon oxide sequestration 
credit with respect to which a taxpayer may make an election under this 
section shall not exceed the portion of such credit which is 
attributable to property originally placed in service after the date of 
the enactment of this section.
    ``(c) Timing.--The payment described in subsection (a) shall be 
treated as made on the later of the due date of the return of tax for 
such taxable year or the date on which such return is filed.
    ``(d) Exclusion From Gross Income.--Gross income of the taxpayer 
shall be determined without regard to this section.
    ``(e) Denial of Double Benefit.--Solely for purposes of section 38, 
in the case of a taxpayer making an election under this section, the 
carbon oxide sequestration credit determined under section 45Q shall be 
reduced by the amount of the portion of such credit with respect to 
which the taxpayer makes such election.
    ``(f) Special Rules.--
            ``(1) In the case of a taxpayer making an election under 
        this subsection, the credit subject to such an election shall 
        be determined notwithstanding--
                    ``(A) section 50(b)(3); and
                    ``(B) section 50(b)(4) for an entity described in 
                50(b)(4)(A)(i).
            ``(2) In the case of a mutual or cooperative electric 
        company described in this paragraph or an organization 
        described in section 1381(a)(2), any income received or accrued 
        in connection with the credit under this section shall be 
        treated as an amount collected from members for the sole 
        purpose of meeting losses and expenses.''.
    (b) Clerical Amendment.--The table of sections for subchapter B of 
chapter 65 of such Code is amended by adding at the end the following 
new item:

``Sec. 6431. Elective payment for carbon oxide sequestration.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to credits determined for taxable years ending after the date of 
the enactment of this Act.

SEC. 4. ALLOWANCE OF THE CARBON OXIDE SEQUESTRATION CREDIT AGAINST THE 
              BASE EROSION MINIMUM TAX.

    (a) In General.--Section 59A(b) of the Internal Revenue Code of 
1986 is amended--
            (1) by inserting ``and the carbon dioxide sequestration 
        credit determined under section 45Q'' after ``section 41(a)'' 
        in paragraph (1)(B)(ii)(I), and
            (2) by inserting ``(other than the credit allowed under 
        section 38 for the taxable year which is properly allocable to 
        the credit for carbon oxide sequestration determined under 
        section 45Q)'' after ``credits allowed under this chapter''.
    (b) Effective Date.--The amendments made by this section shall take 
effect as if included in section 41119 of the Bipartisan Budget Act of 
2018.
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