[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5179 Introduced in House (IH)]

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117th CONGRESS
  1st Session
                                H. R. 5179

  To amend the Internal Revenue Code of 1986 to extend and modify the 
     credit for carbon oxide sequestration, and for other purposes.


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                    IN THE HOUSE OF REPRESENTATIVES

                           September 7, 2021

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

_______________________________________________________________________

                                 A BILL


 
  To amend the Internal Revenue Code of 1986 to extend and modify the 
     credit for carbon oxide sequestration, and for other purposes.

    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 ``Negating Emissions to Zero Act of 
2021'' or the ``NET Zero Act of 2021''.

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

    (a) Extension.--Section 45Q(d)(1) is amended by striking ``January 
1, 2026'' and inserting ``January 1, 2032''.
    (b) Modification of Carbon Oxide Capture Requirements.--Section 
45Q(d)(2) is amended to read as follows:
            ``(2) which captures--
                    ``(A) in the case of a direct air capture facility, 
                not less than 10,000 metric tons of qualified carbon 
                oxide during the taxable year,
                    ``(B) in the case of an electricity generating 
                facility, not less than 18,750 metric tons of qualified 
                carbon oxide during the taxable year and not less than 
                75 percent of the carbon oxide that would otherwise be 
                released into the atmosphere by such facility during 
                such taxable year, and
                    ``(C) in the case of any other facility, not less 
                than 12,500 metric tons of qualified carbon oxide 
                during the taxable year and not less than 50 percent of 
                the carbon oxide that would otherwise be released into 
                the atmosphere by such facility during such taxable 
                year.''.
    (c) Determination of Applicable Dollar Amount.--
            (1) In general.--Section 45Q(b)(1) is amended by 
        redesignating subparagraph (B) as subparagraph (C) and by 
        inserting after subparagraph (A) the following new 
        subparagraph:
                    ``(B) Special rule for direct air capture 
                facilities.--For any taxable year beginning after 
                December 31, 2021, in the case of any qualified 
                facility described in subsection (d)(2)(C), the 
                applicable dollar amount shall be an amount equal to--
                            ``(i) for purposes of paragraph (3) of 
                        subsection (a), an amount equal to the product 
                        of $180 and the inflation adjustment factor for 
                        such calendar year determined under section 
                        43(b)(3)(B) for such calendar year, determined 
                        by substituting `2020' for `1990', and
                            ``(ii) for purposes of paragraph (4) of 
                        such subsection, an amount equal to the product 
                        of $130 and the inflation adjustment factor for 
                        such calendar year determined under section 
                        43(b)(3)(B) for such calendar year, determined 
                        by substituting `2020' for `1990'.''.
            (2) Conforming amendments.--
                    (A) Section 45Q(b)(1)(A) is amended by striking 
                ``The applicable dollar amount'' and inserting ``Except 
                as provided in subparagraph (B), the applicable dollar 
                amount''.
                    (B) Section 45Q(b)(1)(C), as redesignated by 
                subparagraph (A), is amended by striking ``subparagraph 
                (A)'' and inserting ``subparagraph (A) or (B)''.
    (d) Effective Dates.--
            (1) Extension.--The amendment made by subsection (a) shall 
        apply to facilities the construction of which begins after 
        December 31, 2025.
            (2) Other amendments.--The amendments made by subsections 
        (b) and (c) shall apply to taxable years beginning after 
        December 31, 2021.
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