To amend the Internal Revenue Code of 1986 to modify the credit for carbon dioxide sequestration.
Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,
SECTION 1. MODIFICATIONS TO CARBON DIOXIDE SEQUESTRATION CREDIT.
(a) Allocation and Certification of Credit.-- (1) In general.--Subsection (e) of section 45Q of the Internal Revenue Code of 1986 is amended to read as follows: ``(e) Limitation.-- ``(1) Allocation limitation.--No credit shall be allowed under subsection (a) with respect to qualified carbon dioxide captured by carbon capture equipment at a qualified facility for the amount of qualified carbon dioxide captured by such carbon capture equipment in excess of-- ``(A) the portion of the national limitation allocated with respect to such carbon capture equipment under subsection (f), over ``(B) the amount of qualified carbon dioxide captured by such carbon capture equipment during periods after July 31, 2013. ``(2) National limitation.--For purposes of paragraph (1)(A), the national limitation is the excess of-- ``(A) 75,000,000 metric tons of qualified carbon dioxide, over ``(B) the number of metric tons of qualified carbon dioxide captured before August 1, 2013, for which a credit under subsection (a) was allowed.''. (2) Allocation and certification.--Section 45Q of such Code is amended by adding at the end the following new subsection: ``(f) Allocation for and Certification of Carbon Capture Projects.-- ``(1) Establishment of procedures.--Not later than July 1, 2013, the Secretary shall establish, by regulation, processes and procedures-- ``(A) for allocating the national...