Instructions for Form 8933 (2021)

Carbon Oxide Sequestration Credit

Section references are to the Internal Revenue Code unless otherwise noted.

2021


Instructions for Form 8933 - Introductory Material

Future Developments

For the latest information about developments related to Form 8933 and its instructions, such as legislation enacted after they were published, go to IRS.gov/Form8933.

What’s New

Proposed and final regulations, model certificates, and expanded Form 8933.

Per the January 2021 Treasury Decision 9944 (TD) (final regulations for section 45Q) and the June 2020 Notice of Proposed Rulemaking (NPRM) (REG-112339-19) that preceded it, section 45Q projects may involve multiple legal contracts with multiple parties for the capture, utilization, or disposal of carbon oxides and, generally to claim the credit, the existence of each contract and the parties involved must be reported on Form 8933 annually. For this reporting, filers should use attachments substantially similar to the model certificates shown at the end of these instructions. Form 8933 is expanded from 9 lines to 12 lines, as follows: (1) Checkboxes are added as new Part I for certain elections or whether carbon oxide was captured. (2) The credit rate lines are separated into Parts II and III, for elections applicable to before or after February 9, 2018, the date of enactment of the Bipartisan Budget Act (BBA), which rewrote and expanded section 45Q. (3) Lines 7–11 under new Part IV are the same as old lines 5–9. (4) Line 12 is added for recapture of the credit.

Note.

For tax years beginning on or after January 13, 2021, you must follow the provisions of the TD. For all other 2021 tax years you may elect to apply either the provisions of the NPRM or of the TD, but you must apply them in their entirety and in a consistent manner.

Credit reduced for certain tax-exempt bonds.

The Infrastructure Investment and Jobs Act provides that a section 45Q project can be financed with tax-exempt section 142 bonds issued after December 31, 2021, but this will reduce any section 45Q credit arising from the project. See Coordination With Section 142 Bond Financing, later.

Credit rates and applicable dollar amounts.

The credit rates for lines 1b, 2b, and 3b are adjusted for inflation and increased, per Notice 2021-35. The applicable dollar amounts for lines 4b, 5b, and 6b are established by linear interpolation between statutory dollar amounts and increased, per Notice 2018-93. See 2021 credit rates and applicable dollar amounts, later.

Reminder

Beginning of construction date extended.

Section 45Q was amended by the Consolidated Appropriations Act of 2021, to extend the beginning of construction deadline for qualified facilities and carbon capture equipment by 2 years (must begin before January 1, 2026).

General Instructions

Purpose of Form

Use Form 8933 to claim the section 45Q carbon oxide sequestration credit. See Definitions, later.

For purposes of this form, a partner in a partnership that has made a valid section 761(a) election will be considered the taxpayer. Partnerships with valid section 761(a) elections aren’t required to complete or file this form. Instead, the partner is required to complete and file this form in a manner commensurate with its undivided ownership interest in the qualified facility. Also, see Rev. Proc. 2020-12, 2020-11, I.R.B. 511, for allocation safe harbor.

However, if you elect to use the TD, the section 761(a) election applies only in the case of qualified carbon oxide captured using carbon capture equipment that's originally placed in service at a qualified facility before February 9, 2018. For qualified carbon oxide captured using carbon capture equipment that's originally placed in service at a qualified facility on or after February 9, 2018, for each single process train of carbon capture equipment (as described in Regulations section 1.45Q-2(c)(3)), only one taxpayer will be considered the person to whom the credit is attributable and only that taxpayer may claim the section 45Q credit. See Regulations section 1.45Q-1(h)(1).

Taxpayers other than partnerships or S corporations whose only source of this credit is from those pass-through entities (other than a partnership with a valid 761(a) election) aren’t required to complete or file this form. Instead, report this credit directly on line 1x in Part III of Form 3800, General Business Credit.

How To Figure the Credit

Subject to the section 45Q(f)(3)(B) election (discussed later), section 45Q(a)(1) allows a credit of $20 per metric ton of qualified carbon oxide captured by you using carbon capture equipment that is (1) originally placed in service at a qualified facility before February 9, 2018, (2) disposed of by you in secure geological storage, and (3) not used by you as a tertiary injectant in a qualified enhanced oil recovery (EOR) or natural gas recovery project or utilized by you in a manner described in section 45Q(f)(5).

Section 45Q(a)(2) allows a credit of $10 per metric ton of qualified carbon oxide (1) captured by you using carbon capture equipment that is originally placed in service at a qualified facility before February 9, 2018, and (2) either (a) used by you as a tertiary injectant in a qualified EOR or natural gas recovery project and disposed of by you in secure geological storage, or (b) utilized by you in a manner described in section 45Q(f)(5).

Section 45Q(a)(3) allows a credit of the applicable dollar amount (as determined under section 45Q(b)(1)) per metric ton of qualified carbon oxide (1) captured by you using carbon capture equipment that is originally placed in service at a qualified facility on or after February 9, 2018, during the 12-year period beginning on the date the equipment was originally placed in service, (2) disposed of by you in secure geological storage, and (3) neither used as a tertiary injectant in a qualified EOR or natural gas recovery project nor utilized in a manner described in section 45Q(f)(5).

Section 45Q(a)(4) allows a credit of the applicable dollar amount (as determined under section 45Q(b)(1)) per metric ton of qualified carbon oxide (1) captured by you using carbon capture equipment that is originally placed in service at a qualified facility on or after February 9, 2018, during the 12-year period beginning on the date the equipment was originally placed in service, and (2) either (a) used by you as a tertiary injectant in a qualified EOR or natural gas recovery project and disposed of by you in secure geological storage, or (b) utilized in a manner described in section 45Q(f)(5).

For purposes of determining the credit, you may elect under section 45Q(b)(3) to have the dollar amounts applicable under section 45Q(a)(1) or (2) apply in lieu of the dollar amounts applicable under section 45Q(a)(3) or (4) for each metric ton of qualified carbon oxide that is captured by you using carbon capture equipment that is originally placed in service at a qualified facility on or after February 9, 2018.

For the purpose of calculating the credit, a metric ton of carbon oxide includes only the contained weight of the carbon oxide. The weight of any other substances, such as water or impurities, isn’t included in the calculation.

2021 credit rates and applicable dollar amounts.

The credit rates for lines 1b, 2b, and 3b are increased by the adjustment for inflation. The rates are as follows.

  • Line 1b: $24.10 per metric ton.

  • Line 2b: $12.05 per metric ton.

  • Line 3b: $12.05 per metric ton.

For any tax year beginning in a calendar year after 2016 and before 2027, the section 45Q(b)(1) applicable dollar amounts for lines 4b, 5b, and 6b are established by linear interpolation between $22.66 and $50, and $12.83 and $35, respectively. The applicable dollar amounts are as follows.

  • Line 4b: $34.81 per metric ton.

  • Line 5b: $22.68 per metric ton.

  • Line 6b: $22.68 per metric ton.

See Notice 2021-35, 2021-46 I.R.B. 723, available at IRS.gov/irb/2021-46 IRB#NOT-2021-35 and Notice 2018-93, 2018-51 I.R.B. 1041, available at IRS.gov/irb/2018-51_IRB#NOT-2018-93.

Amount captured by additional carbon capture equipment on existing qualified facility.

For a qualified facility placed in service before February 9, 2018, for which additional carbon capture equipment is placed in service on or after February 9, 2018, the amount of qualified carbon oxide that is captured by you is the following.

  • For purposes of lines 1, 2, and 3, equal to the lesser of (a) the total amount of qualified carbon oxide captured at such facility for the tax year, or (b) the total amount of the carbon dioxide capture capacity of the carbon capture equipment in service at such facility on the day before February 9, 2018.

  • For purposes of lines 4, 5, and 6, an amount (not less than zero) equal to the excess of (a) the total amount of qualified carbon oxide captured at such facility for the tax year, over (b) the total amount of the carbon dioxide capture capacity of the carbon capture equipment in service at such facility on the day before February 9, 2018.

Definitions

Qualified carbon oxide.

This is (a) any carbon dioxide captured from an industrial source by carbon capture equipment originally placed in service before February 9, 2018, which would otherwise be released into the atmosphere as industrial emission of greenhouse gas or lead to such release, and is measured at the source of capture and verified at the point of disposal, injection, or utilization; (b) any carbon dioxide or other carbon oxide that is captured from an industrial source by carbon capture equipment originally placed in service on or after February 9, 2018, which would otherwise be released into the atmosphere as industrial emission of greenhouse gas or lead to such release, and is measured at the source of capture and verified at the point of disposal, injection, or utilization; or (c) in the case of a direct air capture facility, any carbon dioxide that is captured directly from the ambient air, and is measured at the source of capture and verified at the point of disposal, injection, or utilization.

Qualified carbon oxide includes the initial deposit of captured carbon oxide used as a tertiary injectant. It doesn’t include carbon oxide that’s recaptured, recycled, and re-injected as part of the EOR and natural gas recovery process.

Carbon capture equipment.

This includes all components of property that are used to capture or process carbon oxide until the carbon oxide is transported for disposal, injection, or utilization. Carbon capture equipment is equipment used for the purpose of (1) separating, purifying, drying, and/or capturing carbon oxide that would otherwise be released into the atmosphere from an industrial facility; (2) removing carbon oxide from the atmosphere via direct air capture; or (3) compressing or otherwise increasing the pressure of carbon oxide.

All components that make up an independently functioning process train capable of capturing, processing, and preparing carbon oxide for transport will be treated as a single unit of carbon capture equipment (single process train). See Rev. Rul. 2021-13, 2021-30 I.R.B. 152, available at IRS.gov/irb/2021-30_IRB#REV-RUL-2021-13.

Industrial facility.

An industrial facility is a facility that produces a carbon oxide stream from a fuel combustion source or fuel cell, a manufacturing process, or a fugitive carbon oxide emission source that, absent capture and disposal, would otherwise be released into the atmosphere as industrial emission of greenhouse gas or lead to such release. An industrial facility doesn’t include a facility that produces carbon dioxide from carbon dioxide production wells at natural carbon dioxide-bearing formations or a naturally occurring subsurface spring. Depending on your election to use the NPRM or the TD, see section 3.02(b) of Notice 2009-83 or proposed Regulations section 1.45Q-2(d)(1) or Regulations section 1.45Q-2(d)(1) and (d)(2). An Industrial Source is an emission of carbon oxide from an industrial facility. A Manufacturing Process is a process involving the manufacture of products, other than carbon oxide, that are intended to be sold at a profit, or are used for a commercial purpose. All facts and circumstances with respect to the process and products are to be taken into account.

Electricity generating facility.

An electricity generating facility is a facility described in section 45Q(d)(2)(A) or (B) and is subject to depreciation under MACRS asset class 49.11 (Electric Utility Hydraulic Production Plant), 49.12 (Electric Utility Nuclear Production Plant), 49.13 (Electric Utility Steam Production Plant), or 49.15 (Electric Utility Combustion Turbine Production Plant).

Direct air capture facility.

A direct air capture facility means any facility that uses carbon capture equipment to capture carbon oxide directly from the ambient air. It doesn’t include any facility that captures carbon dioxide (1) that is deliberately released from naturally occurring subsurface springs, or (2) using natural photosynthesis.

Qualified facility.

Any industrial facility or direct air capture facility (a) the construction of which begins before January 1, 2026, and the construction of carbon capture equipment begins before that date, or the original planning and design for the facility includes installation of carbon capture equipment; and (b) which captures:

  1. In the case of a facility that emits not more than 500,000 metric tons of carbon oxide into the atmosphere during the tax year, not less than 25,000 metric tons of qualified carbon oxide during the tax year that is utilized as described under section 45Q(f)(5); or

  2. In the case of an electricity generating facility that isn’t described in (1), not less than 500,000 metric tons of qualified carbon oxide during the tax year; or

  3. In the case of a direct air capture facility or any facility not described in (1) or (2), not less than 100,000 metric tons of qualified carbon oxide during the tax year.

Qualified EOR or natural gas recovery project.

A qualified EOR or natural gas recovery project means any project located in the United States involving the application of one or more tertiary recovery methods defined in section 193(b)(3) that can reasonably be expected to result in more than an insignificant increase in the amount of crude oil or natural gas that will ultimately be recovered and with respect to which the first injection of liquids, gases, or other matter begins after 1990.

Natural gas.

Natural gas means any product (other than crude oil) of an oil or gas well if a deduction for depletion is allowable under section 611 with respect to such product.

Tertiary injectant.

An injectant (other than a hydrocarbon injectant that is recoverable) that is used as part of a tertiary recovery method. For more details, see section 193(b).

Secure geological storage.

Secure geological storage includes, but isn’t limited to, storage at deep saline formations, oil and gas reservoirs, and unminable coal seams.

If you are claiming a credit for a facility placed in service before February 9, 2018, the following applies.

  • Secure geological storage requires approval by the U.S. Environmental Protection Agency (EPA) of a Monitoring, Reporting, and Verification Plan (MRV Plan) submitted by the operator of the storage facility or tertiary injection project.

  • The annual amount of carbon oxide claimed for the credit must be consistent with amounts reported to the EPA under its Greenhouse Gas Reporting Program, subpart RR.

See sections 6 through 8 of Notice 2009-83, 2009-44 I.R.B. 588, available at IRS.gov/irb/2009-44_IRB#NOT-2009-83 for reporting and recordkeeping requirements associated with the limitation on credits available under former section 45Q(a) (as in effect before February 9, 2018) and sections 45Q(a)(1) and (2). Sections 1 through 5 of Notice 2009-83 were obsoleted by REG-112339-19, 85 F.R. 34050-34075. After the end of the calendar year in which the Secretary, in consultation with the Administrator of the EPA, certifies that a total of 75,000,000 metric tons of qualified carbon oxide have been taken into account under former section 45Q(a) (as in effect before February 9, 2018) and sections 45Q(a)(1) and (2), the remaining sections of Notice 2009-83 will be obsoleted.

If you are claiming a credit for a facility that was placed in service in tax years beginning on or after February 9, 2018, qualified carbon oxide is considered disposed of by you in secure geological storage such that the qualified carbon oxide doesn’t escape into the atmosphere if the qualified carbon oxide is:

  • Stored, and not used as a tertiary injectant in a qualified EOR or natural gas recovery project, in compliance with applicable requirements under 40 CFR Part 98 subpart RR;

  • Used as a tertiary injectant in a qualified EOR or natural gas recovery project and stored in compliance with applicable requirements under 40 CFR Part 98 subpart RR, or the International Organization for Standardization (ISO) Standards endorsed by the American National Standards Institute (ANSI) under CSA/ANSI ISO 27916:19, Carbon dioxide capture, transportation and geological storage—Carbon dioxide storage using enhanced oil recovery (CO2-EOR); and

  • Injected into a well that complies with applicable Underground Injection Control regulations onshore or offshore under submerged lands within the territorial jurisdiction of the United States.

Utilization of qualified carbon oxide.

Utilization of qualified carbon oxide means (1) the fixation of such qualified carbon oxide through photosynthesis or chemosynthesis, such as through the growing of algae or bacteria; (2) the chemical conversion of such qualified carbon oxide to a material or chemical compound in which such qualified carbon oxide is securely stored; or (3) the use of such qualified carbon oxide for any other purpose for which a commercial market exists (with the exception of use as a tertiary injectant in a qualified EOR or natural gas recovery project), as determined by the Secretary of the Treasury or his delegate.

United States and U.S. possessions.

This includes the seabed and subsoil of those submarine areas that are adjacent to the territorial waters of the United States (or a U.S. possession) and over which the United States has exclusive rights, in accordance with international law, with respect to the exploration and exploitation of natural resources.

Who Can Claim the Credit

The credit is attributable to you in the case of qualified carbon oxide captured using carbon capture equipment that is originally placed in service at a qualified facility on or after February 9, 2018, if you’re the person that owns the carbon capture equipment and physically or contractually ensures the disposal, utilization, or use as a tertiary injectant of this qualified carbon oxide.

Elections

Section 45Q(b)(3) Election

You can elect to have the credit rates applicable to lines 1b, 2b, and 3b apply instead of the applicable dollar amounts applicable to lines 4b, 5b, and 6b for each metric ton of qualified carbon oxide that is captured by you using carbon capture equipment that is originally placed in service at a qualified facility on or after February 9, 2018.

Section 45Q(f)(6) Election

For purposes of section 45Q, for any tax year in which such facility is an applicable facility (a facility placed in service before February 9, 2018, and for which no taxpayer claimed a section 45Q credit for any tax year ending before February 9, 2018) that captures not less than 500,000 metric tons of qualified carbon oxide during the tax year, you can elect to have the facility, and any carbon capture equipment placed in service at the facility, treated as placed in service on February 9, 2018.

You make a section 45Q(f)(6) election by filing a statement of election with your income tax return for each tax year in which the credit arises. In addition to any information required on Form 8933, your statement of election must show your name, address, taxpayer identification number, location, and the identification number(s) assigned to the facility by the EPA's electronic Greenhouse Gas Reporting Tool (e-GGRT ID number(s)) (if available).

Note.

EPA e-GGRT ID number(s) are identification number(s) assigned to the facility by the EPA's electronic Greenhouse Gas Reporting Tool.

Section 45Q(f)(3)(B) Election

In the case of qualified carbon oxide captured using carbon capture equipment that is originally placed in service at a qualified facility before February 9, 2018, if you’re the person that captures and physically or contractually ensures the disposal, injection, or utilization of the qualified carbon oxide, the credit is attributable to you. You may claim the credit, or you may elect to allow the credit to the person that disposes of, injects, or utilizes the qualified carbon oxide. If you make this election, the amount you elect to allow won’t be allowed to you. You can also elect to allow only part of the credit to the person that disposes of, injects, or utilizes the qualified carbon oxide in a tax year, and to claim the remainder yourself.

In the case of qualified carbon oxide captured using carbon capture equipment that is originally placed in service at a qualified facility on or after February 9, 2018, if you’re the person that owns the carbon capture equipment and physically or contractually ensures the capture and disposal, utilization, or use as a tertiary injectant of such carbon oxide, you may check the box to elect to allow the credit to another person that disposes of, injects, or utilizes the qualified carbon oxide. If you make this election, the amount you elect to allow won’t be allowed to you. You can also elect to allow only part of the credit to the person that disposes of, injects, or utilizes the qualified carbon oxide in a tax year, and to the claim the remainder yourself.

A new section 45Q(f)(3)(B) election must be made annually. You make a section 45Q(f)(3)(B) election by filing a statement of election (see Model Certificate ELECT, later, and the information below) with the Form 8933 no later than the time prescribed by law (including extensions) for filing your federal income tax return or Form 1065 for the year in which the credit arises. You must make a separate election for each qualified facility.

.This is an Image: caution.gifThe election may not be filed with an amended federal income tax return, an amended Form 1065, or an Administrative Adjustment Request (AAR), as applicable, after the prescribed date (including extensions) for filing the original federal income tax return or Form 1065 for the year, with the exception of amended federal income tax returns, amended Forms 1065, or AARs, as applicable, for any tax year ending after February 9, 2018, and beginning on or before January 13, 2021. The amended federal income tax return or the amended Form 1065 must be filed, in no event, later than the applicable period of limitations on assessment for the tax year for which the amended federal income tax return or Form 1065 is being filed. .

Information required to be provided by electing taxpayer.

  • Election statement of the electing taxpayer on Form 8933 must indicate that an election is being made under section 45Q(f)(3)(B);

  • The electing taxpayer must provide each credit claimant with a copy of the electing taxpayer’s Form 8933; and

  • The electing taxpayer must, in addition to any information required on Form 8933, set forth the following information.

    1. The electing taxpayer’s name, address, taxpayer identification number, location, and e-GGRT ID number(s) (if available) of each qualified facility where carbon oxide was captured;

    2. The full amount of credit attributable to the taxpayer prior to the election;

    3. The name, address, and taxpayer identification number of each credit claimant, and the location and EPA e-GGRT ID number(s) (if available) of each secure geological storage facility where the qualified carbon oxide is disposed of or injected;

    4. The dollar amount of credits the taxpayer is allowing each credit claimant to claim and the corresponding metric tons of qualified carbon oxide; and

    5. The dollar amount of credits retained by the electing taxpayer and the corresponding metric tons of qualified carbon oxide.

Information required to be provided by credit claimant.

Credit claimant must include the following information on Form 8933 with its timely filed federal income tax return or Form 1065 (including extensions).

  • The name, address, and taxpayer identification number of the credit claimant;

  • The name, address, and taxpayer identification number of each taxpayer making an election under section 45Q(f)(3)(B) to allow the credit to the credit claimant;

  • The location and EPA e-GGRT ID number(s) (if available) of each qualified facility where carbon oxide was captured;

  • The location and EPA e-GGRT ID number(s) (if available) of each secure geological storage facility where the qualified carbon oxide is disposed of or injected;

  • The full dollar amount of credits attributable to each electing taxpayer prior to the election and the corresponding metric tons of carbon oxide;

  • The dollar amount of credits that each electing taxpayer is allowing the credit claimant to claim and the corresponding metric tons of carbon oxide; and

  • A copy of the electing taxpayer’s Form 8933.

Application of Section 45Q for Certain Carbon Capture Equipment

In the case of any carbon capture equipment placed in service before February 9, 2018, the credit will apply to qualified carbon oxide captured using such equipment before the end of the calendar year in which the Secretary, in consultation with the Administrator of the EPA, certifies that, during the period beginning after October 3, 2008, a total of 75,000,000 metric tons of qualified carbon oxide have been taken into account in accordance with section 45Q(a), as in effect on the day before February 9, 2018, and section 45Q(a)(1) and (2).

When Construction Begins

Two methods can be used to establish that construction of a qualified facility or carbon capture equipment has begun.

  1. Physical Work Test is satisfied when physical work of a significant nature begins and other requirements provided in section 5 of Notice 2020-12, 2020-11 I.R.B. 495, available at IRS.gov/irb/2020-11_IRB#NOT-2020-12, are met.

  2. Five Percent Safe Harbor is satisfied when you pay or incur (within the meaning of Regulations section 1.461-1(a)(1) and (2)) five percent or more of the total cost of a qualified facility or carbon capture equipment and meets other requirements provided in section 6 of Notice 2020-12.

Although both methods can be used, only one method is needed to establish that construction of a qualified facility or carbon capture equipment has begun. If you began construction on a qualified facility or carbon capture equipment by satisfying either the Physical Work Test or the Five Percent Safe Harbor Test, or both, before the effective date of Notice 2020-12 (March 9, 2020), you may use March 9, 2020, as the date that construction began on such qualified facility or carbon capture equipment. Additionally, if you began construction on a qualified facility or carbon capture equipment before March 9, 2020, under both the Physical Work Test and the Five Percent Safe Harbor, you may choose either method (but not both) for the purpose of applying the beginning of construction rules. If you began construction on a qualified facility or carbon capture equipment on or after March 9, 2020, construction will be deemed to have begun on the date you first satisfy either the Physical Work Test or the Five Percent Safe Harbor. If you fail to satisfy the Five Percent Safe Harbor in one year due to cost overruns (as defined in section 6.03 of Notice 2020-12), you won’t be prevented from using the Physical Work Test in a later year to establish beginning of construction, provided that occurs before January 1, 2026.

Recapture

A recapture event occurs when qualified carbon oxide for which a section 45Q credit has been claimed ceases to be captured, disposed of, or used as a tertiary injectant during the recapture period. Recapture events are determined separately for each project involving capture, disposal, or use of qualified carbon oxide as a tertiary injectant.

Qualified carbon oxide ceases to be captured, disposed of, or used as a tertiary injectant if the leaked amount of qualified carbon oxide in the tax year exceeds the amount of qualified carbon oxide disposed of in secure geological storage or used as a tertiary injectant in that same tax year.

If a recapture event occurs during a project’s recapture period and you have claimed a credit for that project, you must report the following information on a Form 8933 filed with your federal income tax return or Form 1065 for the tax year for which the recapture event occurred.

  • The recapture amount (as defined in Regulations section 1.45Q-5(e));

  • The quantity of leaked qualified carbon oxide (in metric tons) (as defined in Regulations section 1.45Q-5(c));

  • The statutory credit rate at which the credits were originally calculated; and

  • A statement that describes how you became aware of the recapture event, how the leaked amount was determined, and the identity and involvement of any regulatory agencies.

Coordination With Section 142 Bond Financing

The credit for any project for any tax year is reduced by the amount which is the product of the credit for such tax year and the lesser of ½, or a fraction, the numerator of which is the sum, for the tax year and all prior tax years, of the proceeds from an issue described in section 142(a)(17) used to provide financing for the project the interest on which is exempt from tax under section 103, and the denominator of which is the aggregate amount of additions to the capital account for the project for the tax year and all prior tax years. The amounts under the preceding sentence for any tax year are determined as of the close of the tax year.

Note.

For purposes of the above, there are no prior tax years before January 1, 2022.

Reporting Requirements

General Requirements

If you are claiming the section 45Q credit, you must provide the name and location of the qualified facilities at which the qualified carbon oxide was captured.

.This is an Image: caution.gifIf you are claiming the section 45Q credit on an amended federal income tax return, an amended Form 1065, or an AAR, as applicable, you must state “AMENDED RETURN FOR SECTION 45Q CREDIT” at the top of the amended federal income tax return, the amended Form 1065, or the AAR, as applicable. The amended federal income tax return or the amended Form 1065 must be filed, in no event, later than the applicable period of limitations on assessment for the tax year for which the amended federal income tax return or Form 1065 is being filed. .

Contractually Ensuring Disposal, Injection, or Utilization of Qualified Carbon Oxide

If you enter into a contract with another party to ensure disposal, injection, or utilization of qualified carbon oxide, you must report the existence of each contract, and the parties involved annually on Form 8933 by each party to the contract, regardless of the party claiming the credit. In addition to any information stated as required on Form 8933, the report must include the following information.

  • Your name and identifying number;

  • The name and taxpayer identification number of each party with whom you have entered into a contract to ensure the disposal, injection, or utilization of qualified carbon oxide;

  • The date on which each contract was executed;

  • The number of metric tons of qualified carbon oxide each contracting party disposes of, injects, or utilizes on behalf of you each tax year for reporting to the IRS; and

  • For contracts for the disposal of qualified carbon oxide in secure geological storage or the use of qualified carbon oxide as a tertiary injectant in EOR or natural gas recovery, identifying information (the name of the operator, the field, unit, and reservoir), location by county and state, and EPA e-GGRT ID number(s) (if available) for submission of the facility’s 40 CFR Part 98 (subpart RR) annual reports. For this reporting, use a statement substantially similar to Model Certificate RECAPTURE.

Secure Geological Storage

Certifications must be made annually.

Reporting Based on 40 CFR Part 98 (Subpart RR)

For an EOR or natural gas recovery project in which you reported volumes to the EPA pursuant to 40 CFR Part 98 subpart RR, you may self-certify the volume of carbon oxide claimed for purposes of the credit.

Reporting Based on CSA/ANSI ISO 27916:19

For an EOR or natural gas recovery project in which you determined volumes pursuant to CSA/ANSI ISO 27916:19, you may prepare documentation as outlined in CSA/ANSI ISO 27916:19 internally, but such documentation must be provided to a qualified independent engineer or geologist, who then must certify that the documentation provided, including the mass balance calculations as well as information regarding monitoring and containment assurance, is accurate and complete. For any leaked amount of qualified carbon oxide that is determined pursuant to CSA/ANSI ISO 27916:19, the certification must also include a statement that the quantity was determined in accordance with sound engineering principles.

If you capture qualified carbon oxide giving rise to the credit, you must file Form 8933 with a timely filed federal income tax return or Form 1065, including extensions, or for the purpose of this rule, amendments to federal income tax returns, Forms 1065, or on AARs, as applicable. Similarly, if you dispose of, inject, or utilize qualified carbon oxide, you must also file Form 8933 with a timely filed federal income tax return or Form 1065, including extensions, or for the purpose of this rule, amendments to federal income tax returns, Forms 1065, or on AARs, as applicable. If the volume of carbon oxide certified and reported is a negative amount, see Regulations section 1.45Q-5 for rules regarding recapture.

.This is an Image: caution.gifNo credit is allowed for any tax year for which you (including credit claimants) have failed to timely submit complete documentation, including the required certifications. The credit will be allowed only for a tax year for which complete documentation and certification has been timely submitted. Certifications for each tax year must be submitted by the due date of the federal income tax return or Form 1065 on which the credit is claimed, including extensions. If a credit is claimed on an amended federal income tax return, an amended Form 1065, or an AAR, as applicable, certifications may also be submitted with such amended federal income tax return, amended Form 1065, or AAR. If a credit was claimed on a timely filed federal income tax return or Form 1065 for a tax year ending after February 9, 2018, and beginning on or before January 13, 2021, for which certifications weren’t submitted, such certifications may be submitted with an amended federal income tax return, an amended Form 1065, or an AAR, as applicable, for the tax year in which the credit was claimed..

Qualified EOR or Natural Gas Recovery Project

Each qualified EOR or natural gas recovery project must be certified under Regulations section 1.43-3.

For purposes of a natural gas project, a petroleum engineer's certification as required under Regulations section 1.43-3(a)(3) and an operator's continued certification of a project as required under Regulations section 1.43-3(b)(3) must include an additional statement that the certification is for purposes of the credit.

Petroleum Engineer’s Certification

The petroleum engineer's certification must be attached to a Form 8933 and filed no later than the last date prescribed by law (including extensions) for filing the operator's or designated owner's federal income tax return or Form 1065 for the first tax year in which qualified carbon oxide is injected into the reservoir.

.This is an Image: caution.gifIf a credit is claimed on an amended federal income tax return, an amended Form 1065, or an AAR, as applicable, the petroleum engineer's certification will be treated as filed timely if it is attached to a Form 8933 that is submitted with such amended federal income tax return, amended Form 1065, or AAR. With respect to a credit that is claimed on a timely filed federal income tax return or Form 1065 for a tax year ending after February 9, 2018, and beginning on or before January 13, 2021, for which the petroleum engineer's certification wasn’t submitted, the petroleum engineer's certification will be treated as filed timely if it is attached to an amended Form 8933 for any tax year ending after February 9, 2018, but not for tax years beginning on or before January 13, 2021..

Operator’s Continued Certification

The operator's continued certification of a project must be attached to a Form 8933 and filed no later than the last date prescribed by law (including extensions) for filing the operator's or designated owner's federal income tax return or Form 1065 for tax years after the tax year for which the petroleum engineer's certification is filed but not after the tax year in which injection activity ceases and all injection wells are plugged and abandoned.

Utilization

The amount of qualified carbon oxide utilized by you is equal to the metric tons of qualified carbon oxide that you demonstrate, based upon an analysis of lifecycle greenhouse gas emissions (LCA), that were captured and permanently isolated from the atmosphere (isolated), or displaced from being emitted into the atmosphere (displaced).

Lifecycle greenhouse gas emissions and lifecycle analysis.

The term “lifecycle greenhouse gas emissions” means the aggregate quantity of greenhouse gas emissions (including direct emissions and significant indirect emissions such as significant emissions from land use changes) related to the full product lifecycle, including all stages of product and feedstock production and distribution, from feedstock generation or extraction through the distribution and delivery and use of the finished product to the ultimate consumer, where the mass values for all greenhouse gases are adjusted to account for their relative global warming potential according to Table A-1 of 40 CFR Part 98 subpart A. The amount of lifecycle greenhouse gas emissions measured by a lifecycle greenhouse gas analysis (LCA) is expressed in carbon dioxide equivalents (CO2-e).

Measurement.

The measurement and written LCA report must be performed by or verified by an independent third party. The LCA report must be prepared in conformance with, and contain documentation that conforms to, the International Organization for Standardization (ISO) 14040:2006, Environmental Management—Life Cycle Assessment—Principles and Framework and ISO 14044:2006, Environmental Management—Life Cycle Assessment—Requirements and Guidelines, as well as a statement documenting the qualifications of the independent third party, including proof of appropriate U.S. or foreign professional license, and an affidavit from the third party stating that it's independent from you.

Approval of the LCA.

You must submit the written LCA report and independent third-party statement to the IRS and the Department of Energy (DOE). The LCA will be subject to a technical review by the DOE, and the IRS will determine whether to approve the LCA.

You should fax a copy of your LCA report, including the independent third-party statement specified in Regulations section 1.45Q-4(c)(4), to the IRS at 844-255-4817. The submission should include a cover letter with:

  1. Name of the utilization facility;

  2. Name of the operator of the utilization facility, including operator’s TIN/EIN;

  3. Name of the taxpayer(s) claiming the credit based on the LCA, including each taxpayer's TIN/EIN;

  4. Tax year in which the credit is claimed; and

  5. Name, email address, and phone number of a person to whom the IRS can contact regarding this LCA application.

You should also mail (1) the items above, and (2) the model, if the LCA wasn’t verified by an independent third-party review, on a USB thumb drive, to:


Internal Revenue Service
Office of Associate Chief Counsel (PSI)
1111 Constitution Ave. NW
Branch 6 (CC:PSI:6), Room 5114
Washington, DC 20224

You should also send the DOE an email at LCA45Q@hq.doe.gov, and the DOE will respond with instructions for submission of the LCA application.

Specific Instructions

To claim the credit for disposal of carbon oxide in secure geological storage or for use of carbon oxide as a tertiary injectant in an EOR or natural gas recovery project, prior to disposal in secure geological sequestration, the amount of carbon oxide must be measured at the source of capture and verified either at the point of disposal in secure geological storage or at the point of injection as a tertiary injectant in an EOR or natural gas recovery project. The amount of qualified carbon oxide is presumed to be the lesser of the amount measured at capture and the amount verified at disposal or injection unless it can be established to the satisfaction of the IRS that the greater amount is the correct amount.

To claim the credit for utilization of carbon oxide, the amount of qualified carbon oxide utilized by you is equal to the metric tons of qualified carbon oxide that you demonstrate, based upon an analysis of lifecycle greenhouse gas emissions (LCA), were (1) captured and permanently isolated from the atmosphere, or (2) displaced from being emitted into the atmosphere. The amount of qualified carbon oxide utilized by you for purposes of the section 45Q credit can't exceed the amount of qualified carbon oxide measured at the source of capture.

Line 1a

Enter the number of metric tons of qualified carbon oxide captured using carbon capture equipment originally placed in service at a qualified facility before February 9, 2018 (or, on or after February 9, 2018, for facilities for which an election was made under section 45Q(b)(3); see Line 7. Section 45Q(b)(3) Election, later), disposed of in secure geological storage, and not used as a tertiary injectant in a qualified enhanced oil or natural gas recovery project, or utilized in a way described in section 45Q(f)(5).

Line 2a

Enter the number of metric tons of qualified carbon oxide captured using carbon capture equipment originally placed in service at a qualified facility before February 9, 2018 (or, on or after February 9, 2018, for facilities for which an election was made under section 45Q(b)(3); see Line 7. Section 45Q(b)(3) Election, later), disposed of in secure geological storage, and used as a tertiary injectant in a qualified enhanced oil or natural gas recovery project.

Line 3a

Enter the number of metric tons of qualified carbon oxide captured using carbon capture equipment originally placed in service at a qualified facility before February 9, 2018 (or, on or after February 9, 2018, for facilities for which an election was made under section 45Q(b)(3); see Line 7. Section 45Q(b)(3) Election, later), and utilized as described in section 45Q(f)(5).

Line 4a

Enter the number of metric tons of qualified carbon oxide captured using carbon capture equipment originally placed in service at a qualified facility on or after February 9, 2018, during the 12-year period beginning on the date the equipment was originally placed in service, disposed of in secure geological storage, and not used as a tertiary injectant in a qualified enhanced oil or natural gas recovery project, nor utilized as described in section 45Q(f)(5).

Line 5a

Enter the number of metric tons of qualified carbon oxide captured using carbon capture equipment originally placed in service at a qualified facility on or after February 9, 2018, during the 12-year period beginning on the date the equipment was originally placed in service, disposed of in secure geological storage, and used as a tertiary injectant in a qualified enhanced oil or natural gas recovery project.

Line 6a

Enter the number of metric tons of qualified carbon oxide captured using carbon capture equipment originally placed in service at a qualified facility on or after February 9, 2018, during the 12-year period beginning on the date the equipment was originally placed in service, and utilized as described in section 45Q(f)(5).

Line 7. Section 45Q(b)(3) Election

You may check the box to elect having the dollar amounts applicable under section 45Q(a)(1) or (2) apply in lieu of the dollar amounts applicable under section 45Q(a)(3) or (4) for each metric ton of qualified carbon oxide that is captured by you using carbon capture equipment that is originally placed in service at a qualified facility on or after February 9, 2018. See the instructions for lines 1a, 2a, or 3a, earlier.

Line 8. Section 45Q(f)(6) Election

You may check the box to elect for applicable facilities under section 45Q(f)(6)(A). Section 45Q(f)(6)(A) provides that for any tax year in which an applicable facility captures not less than 500,000 metric tons of qualified carbon oxide, the person described in section 45Q(f)(3)(A)(ii) may elect to have such applicable facility, and any carbon capture equipment placed in service at such applicable facility, deemed as having been placed in service on February 9, 2018. The term “applicable facility” means a qualified facility (i) that was placed in service before February 9, 2018, and (ii) for which no taxpayer claimed a section 45Q credit in regards to such facility for any tax year ending before February 9, 2018.

Line 9. Section 45Q(f)(3)(B) Election

In the case of qualified carbon oxide captured using carbon capture equipment that was originally placed in service at a qualified facility before February 9, 2018, if you’re the person that captures and physically or contractually ensures the disposal, injection, or utilization of the qualified carbon oxide, you may check the box to elect to allow the credit to another person that disposes of, injects, or utilizes the qualified carbon oxide. If you make this election, the amount you elect to allow won’t be allowed to you. You can also elect to allow only part of the credit to the person that disposes of, injects, or utilizes the qualified carbon oxide in a tax year, and to claim the remainder yourself.

In the case of qualified carbon oxide captured using carbon capture equipment that is originally placed in service at a qualified facility on or after February 9, 2018, if you’re the person that owns the carbon capture equipment and physically or contractually ensures the capture and disposal, utilization, or use as a tertiary injectant of such carbon oxide, you may check the box to elect to allow the credit to another person that disposes of, injects, or utilizes the qualified carbon oxide. If you make this election, the amount you elect to allow won’t be allowed to you. You can also elect to allow only part of the credit to the person that disposes of, injects, or utilizes the qualified carbon oxide in a tax year, and to the claim the remainder yourself.

Line 10

Enter the total qualified carbon oxide sequestration credits from:

  • Schedule K-1 (Form 1065), Partner's Share of Income, Deductions, Credits, etc., box 15 (code P); and

  • Schedule K-1 (Form 1120-S), Shareholder's Share of Income, Deductions, Credits, etc., box 13 (code P).

Partnerships and S corporations report the above credits on line 10 and their Schedule K. All others not using earlier lines to figure a separate credit can report the above credits directly on Form 3800, Part III, line 1x.

Model Certificates

Per the TD and the NPRM that preceded it, if you’re a large section 45Q project filer, you’ll likely have to use multiple legal contracts with multiple parties for the capture, utilization, or disposal of carbon oxides and, generally to claim the credit, the existence of each contract and the parties involved must be reported on Form 8933 annually. For this reporting, filers should use attachments substantially similar to model certificates shown below.

Model Certificate CF.

Use Model Certificate CF if you’re the owner of a capture facility (may not be the same entity as the owner of the industrial facility) that emits carbon oxide. Model Certificate CF will help show your share of the carbon oxide sequestration credit.

Model Certificate DISP-Operator.

Use Model Certificate DISP-Operator if you’re the operator (or designated operator) of a geologic disposal site at which captured qualified carbon oxide was injected during the calendar year. Don’t use this model certificate if carbon oxide was injected for enhanced oil or natural gas recovery. Provide a copy of your signed Model Certificate DISP-Operator to each owner of the disposal site project.

Model Certificate DISP-Owner.

Use Model Certificate DISP-Owner if you’re the owner (or one of the owners) of the geologic disposal site at which captured carbon oxide was injected during the calendar year. The operator of the disposal site prepares Table 3 of Model Certificate DISP-Operator. Report the amounts from that Table 3 on lines 11, 12, and 14 through 16.

Model Certificate EOR-Operator.

Use Model Certificate EOR-Operator if you’re the operator (or designated operator) of an enhanced oil or gas recovery project (EOR project) at which captured qualified carbon oxide was injected during the calendar year. Provide a copy of your signed Model Certificate EOR-Operator to each owner of the EOR project.

Model Certificate EOR-Owner.

Use Model Certificate EOR-Owner if you’re the owner (or one of the owners) of the EOR project at which captured carbon oxide was injected during the calendar year. The operator of the EOR project prepares Table 3 of Model Certificate EOR-Operator. Report the amounts from that Table 3 on lines 11, 12, and 14 through 16.

Model Certificate UTZ.

Use Model Certificate UTZ if you’re the owner of the utilization facility who utilized qualified carbon oxide during the calendar year. Don’t combine information from separate utilization facilities on the same Model Certificate UTZ. Provide a copy of your signed Model Certificate UTZ to each supplier that supplied qualified captured carbon oxide to inform the suppliers of the amount of their qualified carbon oxide that was utilized.

Model Certificate ELECT.

Use Model Certificate ELECT if (1) you’re the owner of the capture facility that supplied qualified carbon oxide to another person that was properly disposed of in geological storage, used in an EOR project, or utilized in a manner consistent with section 45Q(f), and (2) you elect under section 45Q(f)(3)(B) to allow the section 45Q credit to that person. You must make a separate election for each qualified facility.

Model Certificate RECAPTURE.

Use Model Certificate RECAPTURE if you’re the operator or owner of the geologic disposal site or EOR project to report a recapture event.

Model Certificate CF

Capture Facility Certification 2021
Name(s) shown on return: Identifying number:
Part I. Information About Industrial Facility, Carbon Capture Equipment, Carbon Oxide Sequestration Credit, and Elections
    Yes No
Industrial facility information:      
1 Name of facility _____    
2 Location (county and state) _____    
3 Facility's EPA e-GGRT ID number(s)* _____    
4 Is the facility an electricity-generating facility?
5 Is the facility a direct air capture facility? If “Yes,” skip to line 12
6 If the facility isn’t an electricity-generating or direct air capture facility, state the nature of the facility (for example, ethanol production, cement manufacturing, etc.) _____    
7 What is the placed-in-service date of the facility (MM/DD/YYYY)? _____    
8 Does the facility described above process carbon dioxide or any other gas from underground deposits?
8a If you answered “Yes” to line 8, was any gas obtained from a carbon dioxide production well at natural carbon dioxide-bearing formations or at a naturally occurring subsurface spring, which means a well that contains 90% or greater carbon dioxide by volume?
8b If you answered “Yes” to line 8a, you can’t treat the facility as a qualified industrial facility to the extent that it processed gas described in line 8a during the tax year. See line 8c    
8c If you answered “Yes” to line 8a, do you attest that you meet the exception for a deposit that contains a product, other than carbon oxide, that is commercially viable to extract and sell without taking into account the availability of a commercial market for the carbon oxide that is extracted or any carbon oxide sequestration credit that might be available?
8d If you answered “Yes” to line 8c, have you attached an attestment letter from a independent registered engineer? Don’t treat the facility as a qualified industrial facility unless you answered “Yes” to both lines 8c and 8d. See instructions
9 What were the emissions of carbon oxide during the calendar year (amount released to the atmosphere plus amount captured)? _____    
9a Of the amount listed on line 9, what amount was carbon dioxide? _____    
9b Of the amount listed on line 9, what amount was carbon monoxide? _____    
10 Was annualization of first-year carbon oxide emissions required for this calendar year?
10a If you answered “Yes” to line 10, state the annualized carbon oxide emissions and attach a statement that shows how you determined the annualized carbon oxide emissions _____    
11 Was aggregation of multiple facilities required to achieve the requisite carbon capture thresholds?
11a If you answered “Yes” to line 11, attach a statement that lists the facilities and describes the appropriateness of their aggregation.    
Carbon capture equipment and direct air capture facility information:    
12 Is carbon capture done by a direct air capture facility?
13 State the location of the carbon capture equipment or direct air capture facility (county and state) _____    
14 Was any carbon capture equipment placed in service prior to February 9, 2018? See instructions
15 What was the placed-in-service date (MM/DD/YYYY) of the equipment or facility described on line 13? See instructions _____    
16 Are you the owner of the equipment described on line 13?
16a If you answered “No” to line 16, state your basis for claiming the credit _____    
17 For carbon capture equipment placed in service after February 9, 2018, do you attest that, to the best of your knowledge, you are the only taxpayer who will claim carbon oxide sequestration credit with respect to carbon oxide captured by each single train of carbon capture equipment during the tax year (irrespective of any election you make to allow a contracting disposer, injector, or utilizer to claim credit)? Don’t claim the credit unless you can answer yes. See instructions
18 For the equipment described on line 13, what was the carbon capture capacity on or after February 8, 2018? _____    
* if available
Model Certificate CF
 

Page 2
Part I. Information About Industrial Facility, Carbon Capture Equipment, Carbon Oxide Sequestration Credit, and Elections (continued) Yes No
19 Was additional carbon capture equipment installed on or after February 9, 2018?
19a For equipment described on line 19, what was the beginning of construction date (MM/DD/YYYY)? _____    
19b For equipment described on line 19, what was the placed-in-service date (MM/DD/YYYY)? _____    
19c Is the placed-in-service date of the carbon capture equipment described on line 19 determined pursuant to the 80/20 rule?
19d If you answered “Yes” to line 19c, state your investment in new carbon capture equipment and the fair market value of pre-existing carbon capture equipment _____    
19e If the placed-in-service date of the carbon capture equipment was determined pursuant to the 80/20 rule, did you include its investment in a transportation pipeline as new carbon capture equipment?
19f If you answered “Yes” to line 19e, state your investment in a transportation pipeline _____    
20 What was the total amount of carbon oxide captured during the calendar year (in metric tons)? _____    
20a Of the amount listed on line 20, what amount was carbon dioxide? _____    
20b Of the amount listed on line 20, what amount was carbon monoxide? _____    
21 Was annualization of first-year captured carbon oxide required for this calendar year?
21a If you answered “Yes” to line 21, state the annualized carbon oxide emissions _____    
Information about carbon oxide sequestration credit and your elections:    
22 During the calendar year, are other parties contractually ensuring disposal, injection, or utilization of qualified carbon oxide captured at this facility?
23 For this calendar year, do you elect to allow any of the parties described on line 22 to claim some or all of the carbon oxide sequestration credit?
24 If you answered “No” to line 14, do you elect to apply the $10 and $20 rates (adjusted for inflation) in lieu of the applicable dollar amounts?
25 If you answered “Yes” to line 24, determine the credit using lines 1, 2, or 3 in Part II.    
26 If you answered “No” to line 24, determine the credit using lines 4, 5, or 6 in Part III.    
27 Is the facility described in Part I an applicable facility and are you making the election under section 45Q(f)(6)? See instructions
27a If you answered “Yes” to both parts of line 27, determine the credit using lines 4, 5, or 6 in Part III. See instructions.    
Part II. Facilities at Which Qualified Carbon Oxide Qualifies for a Credit Under Section 45Q(a)(1) or (2), and for Facilities for Which an Election Was Made Under Section 45Q(b)(3)
Qualified carbon oxide captured using carbon capture equipment originally placed in service at a qualified facility before February 9, 2018 (or, on or after February 9, 2018, for facilities for which an election was made under section 45Q(b)(3)), disposed of in secure geological storage, and not used as a tertiary injectant in a qualified enhanced oil or natural gas recovery project, nor utilized as described in section 45Q(f)(5).
  (a) Metric tons (b) Rate (c) Carbon oxide sequestration credit. Multiply column (a) by column (b).
1a Metric tons captured and delivered to point of disposal      
1b Metric tons captured and securely stored by you. Attach Model Certificates DISP-Operator and DISP-Owner for each disposal site      
1c Metric tons captured and securely stored (physically disposed) by another person. Attach Model Certificates DISP-Operator and DISP-Owner for each disposal site      
1d Add lines 1b and 1c   $24.10  
1e Metric tons captured and securely stored (physically disposed) by another person and for which you allow that person to claim the resulting carbon oxide sequestration credit. Attach Model Certificate ELECT for each disposal site   $24.10  
1f Your carbon oxide sequestration credit. Subtract line 1e from line 1d   $24.10  
Model Certificate CF
 

Page 3
Part II. Facilities at Which Qualified Carbon Oxide Qualifies for a Credit Under Section 45Q(a)(1) or (2), or for Which an Election Was Made Under Section 45Q(b)(3) (continued)
Qualified carbon oxide captured using carbon capture equipment originally placed in service at a qualified facility before February 9, 2018, disposed of in secure geological storage, and used as a tertiary injectant in a qualified enhanced oil or natural gas recovery project.
  (a) Metric tons (b) Rate (c) Carbon oxide sequestration credit. Multiply column (a) by column (b).
2a Metric tons captured and delivered to point of injection      
2b Metric tons captured and securely stored by you. Attach Model Certificates EOR-Operator and EOR-Owner for each recovery project      
2c Metric tons captured and securely stored by another person. Attach Model Certificates EOR-Operator and EOR-Owner for each recovery project      
2d Add lines 2b and 2c   $12.05  
2e Metric tons captured and securely stored by another person and for which you allow that person to claim the resulting carbon oxide sequestration credit. Attach Model Certificate ELECT for each recovery project   $12.05  
2f Your carbon oxide sequestration credit. Subtract line 2e from line 2d   $12.05  
Qualified carbon oxide captured using carbon capture equipment originally placed in service at a qualified facility before February 9, 2018, and utilized as described in section 45Q(f)(5).
  (a) Metric tons (b) Rate (c) Carbon oxide sequestration credit. Multiply column (a) by column (b).
3a Metric tons captured and delivered to point of utilization      
3b Metric tons captured and physically utilized by you. Attach Model Certificate UTZ for each utilization facility. Expressed as carbon dioxide equivalents that were determined pursuant to an approved Life Cycle Assessment (LCA). See instructions      
3c Metric tons captured and physically utilized by another person. Attach Model Certificate UTZ for each utilization facility. Expressed as carbon dioxide equivalents that were determined pursuant to an approved LCA. See instructions      
3d Add lines 3b and 3c   $12.05  
3e Metric tons captured and physically utilized by another person and for which you elect to allow that person to claim the resulting carbon oxide sequestration credit. Expressed as carbon dioxide equivalents that were determined pursuant to an approved LCA. See instructions. Attach Model Certificate ELECT for each utilization facility   $12.05  
3f Your carbon oxide sequestration credit. Subtract line 3e from line 3d   $12.05  
Model Certificate CF
 

Page 4
Part III. Qualified Facilities Under Section 45Q(a)(3) or (4) for Which No Election Was Made Under Section 45Q(b)(3)
Qualified carbon oxide captured using carbon capture equipment originally placed in service at a qualified facility on or after February 9, 2018, during the 12-year period beginning on the date the equipment was originally placed in service, disposed of in secure geological storage, and not used as a tertiary injectant in a qualified enhanced oil or natural gas recovery project, nor utilized as described in section 45Q(f)(5).
  (a) Metric tons (b) Rate (c) Carbon oxide sequestration credit. Multiply column (a) by column (b).
4a Metric tons captured and delivered to point of disposal      
4b Metric tons captured and securely stored (physically disposed) by you. Attach Model Certificates DISP-Operator and DISP-Owner for each disposal site      
4c Metric tons captured and securely stored (physically disposed) by another person. Attach Model Certificates DISP-Operator and DISP-Owner for each disposal site      
4d Add lines 4b and 4c   $34.81  
4e Metric tons captured and securely stored (physically disposed) by another person and for which you allow that person to claim the resulting carbon oxide sequestration. Attach Model Certificate ELECT for each disposal site   $34.81  
4f Your carbon oxide sequestration credit. Subtract line 4e from line 4d   $34.81  
Qualified carbon oxide captured using carbon capture equipment originally placed in service at a qualified facility on or after February 9, 2018, during the 12-year period beginning on the date the equipment was originally placed in service, disposed of in secure geological storage, and used as a tertiary injectant in a qualified enhanced oil or natural gas recovery project.
  (a) Metric tons (b) Rate (c) Carbon oxide sequestration credit. Multiply column (a) by column (b).
5a Metric tons captured and delivered to point of injection      
5b Metric tons captured and securely stored (physically disposed) by you. Attach Model Certificates EOR-Operator and EOR-Owner for each recovery project      
5c Metric tons captured and securely stored (physically disposed) by another person. Attach Model Certificates EOR-Operator and EOR-Owner for each recovery project      
5d Add lines 5b and 5c   $22.68  
5e Metric tons captured and securely stored (physically disposed) by another person and for which you allow that person to claim the resulting carbon oxide sequestration. Attach Model Certificate ELECT for each recovery project   $22.68  
5f Your carbon oxide sequestration credit. Subtract line 5e from line 5d   $22.68  
Model Certificate CF
 

Page 5
Part III. Qualified Facilities Under Section 45Q(a)(3) or (4) for Which No Election Was Made Under Section 45Q(b)(3) (continued)
Qualified carbon oxide captured using carbon capture equipment originally placed in service at a qualified facility on or after February 9, 2018, during the 12-year period beginning on the date the equipment was originally placed in service, and utilized as described in section 45Q(f)(5).
  (a) Metric tons (b) Rate (c) Carbon oxide sequestration credit. Multiply column (a) by column (b).
6a Metric tons captured and delivered to point of utilization      
6b Metric tons captured and physically utilized by you. Attach Model Certificate UTZ for each utilization facility. Expressed as carbon dioxide equivalents      
6c Metric tons captured and physically utilized by another person. Attach Model Certificate UTZ for each utilization facility. Expressed as carbon dioxide equivalents      
6d Add lines 6b and 6c   $22.68  
6e Metric tons captured and physically utilized by another person and for which you elect to allow that person to claim the resulting carbon oxide sequestration credit. Expressed as carbon dioxide equivalents. Attach Model Certificate ELECT for each utilization project   $22.68  
6f Your carbon oxide sequestration credit. Subtract line 6e from line 6d   $22.68  
 
Under penalties of perjury, I attest that I am an officer of the company that is the owner of the subject capture facility. I further attest that the above information is true and correct.
 
   
Signature and date signed
 
   
Printed or typed name of person signing this report
 
   
Title
           
   
Company's name and EIN
 
 
Model Certificate CF
 

Model Certificate DISP-Operator

Disposal Operator Certification 2021
Name(s) shown on return: Identifying number:
Information about the owners of the geologic disposal site:
1 In Table 1 below, list information about each owner of the disposal site during the calendar year. If there are more than four owners, prepare a separate table with all the owner information and attach it to this model certificate.
  If one or more of the owners is a partnership or S corporation, provide information for the pass-through entity, not partners or shareholders.
  If one or more of the owners is part of a joint venture that has elected out of subchapter K of the Code, provide information for all such owners.
  Table 1 — Information About the Owner(s) of the Disposal Site
  Disposal site owner Name Address EIN Operating interest (%)
  1        
  2        
  3        
  4        
Information about the geologic disposal site:
2 Name and location (county and state, or offshore tract) _____
3 List the name and EIN of the operator of the site _____
4 List any other companies that are identified as the operator of the project for any other purpose(s) and the nature of the purpose _____
5 Geologic disposal site’s EPA e-GGRT ID number(s)* _____
6 When did injection of captured qualified carbon oxide begin (MM/YYYY)? _____
7 Check here to declare that all figures of stored carbon oxide on this certificate are for carbon oxide consistent with figures reported to the EPA pursuant to the applicable MRV plan and subpart RR of the EPA's Greenhouse Gas Reporting Program
8 Attach a copy of the approved MRV plan or provide the URL where it can be viewed on the EPA website.
Information about the qualified carbon oxide supplied to the geologic disposal site and securely stored:
9 In Table 2, provide information about all suppliers of qualified carbon oxide during the calendar year. “Qualified” carbon oxide means carbon oxide from a supplier who attests that the carbon oxide was captured at one of its qualified section 45Q facilities. For qualified carbon oxide, “supplier” means the person who captured the qualified carbon oxide, which may differ from the company that sold the qualified carbon oxide or physically delivered the qualified carbon oxide to the owner of the geologic disposal site.
  Table 2 — Information About Suppliers of Qualified Carbon Oxide
  Qualified carbon oxide supplier Name EIN Name and location of capture facility
(county, state)
EPA's e-GGRT ID* Check if supplier supplied any nonqualified carbon oxide from any source
  1        
  2        
  3        
10 Complete Table 3 below using information that is consistent with all applicable EPA filings. If there are more than four owners of the geologic disposal site or suppliers of qualified carbon oxide, prepare a separate table with all the supplier information and attach it to this model certificate.
11 Check here to attest that all figures in Table 3 conform to all applicable EPA filings
* if available
Model Certificate DISP‐Operator
 

Page 2
Disposal Operator Certification (continued)
  Table 3 — Information About Disposal
      Qualified carbon oxide supplier number 1 Qualified carbon oxide supplier number 2 Qualified carbon oxide supplier number 3 Total qualified carbon oxide from all suppliers All other suppliers of nonqualified carbon oxide Total metric tons for all carbon oxide suppliers
    (A) Geologic disposal site owner (B) Metric tons delivered (C) Metric tons stored (D) Metric tons delivered (E) Metric tons stored (F) Metric tons delivered (G) Metric tons stored (H) Metric tons delivered (add columns (B), (D), and (F)) (I) Metric tons stored (add columns (C), (E), and (G)) (J) Metric tons delivered (K) Metric tons stored (L) Metric tons delivered (add columns (H) and (J)) (M) Metric tons stored (add columns (I) and (K))
  1                          
  2                          
  3                          
  4                          
  5 Total (add lines 1 through 4)                        
 
Under penalties of perjury, I attest that I am an officer of the company that is the operator of the subject geologic disposal site or that I have been designated by the operating interest owners to prepare and submit this certificate to the IRS on their behalf. I further attest that the above information is true and correct.
 
                 
Signature and date signed
 
                 
Printed or typed name of person signing this report
 
                 
Title
 
                 
Company’s name and EIN
 
                 
 
 
 
Model Certificate DISP‐Operator
 

Model Certificate DISP‐Owner

  Disposal Owner Certification 2021
Name(s) shown on return: Identifying number:
Information about you, the owner of the geologic disposal site:
1 Name _____
2 Address _____
3 EIN _____
Information about your suppliers of qualified carbon oxide. Complete a separate Model Certificate DISP-Owner for each of your suppliers of qualified carbon oxide:
4 Name _____
5 EIN _____
6 Name and location of qualified carbon oxide capture facility (if supplier supplied any qualified carbon oxide) _____
7 Type of industrial facility at which the supplier captured its qualified carbon oxide _____
8 Check here if you were one of the suppliers. Don’t check unless the EIN of the supplier of the qualified carbon oxide is the same as the EIN of the entity that is an owner of the geologic disposal site. If the EINs aren’t the same, there must be a binding written contract between the entities
9 Unless line 8 is checked, do you attest that a binding written contract between you and the supplier exists that ensures that you will securely store the qualified carbon oxide in the manner required under section 45Q and the underlying regulations? Yes No
10 Provide the date (MM/DD/YYYY) of the contract referenced in the line above or the date of the most recent amendment _____
11 Metric tons of qualified carbon oxide received from the supplier during the calendar year (metric tons should agree with the figure reported for you for this supplier by the project's operator in Model Certificate DISP‐Operator, Table 3) _____
12 Metric tons of qualified carbon oxide received from the supplier and stored by you during the calendar year (metric tons should agree with the figure reported for you for this supplier by the disposal site's operator in Model Certificate DISP‐Operator, Table 3) _____
13 Metric tons of nonqualified carbon oxide received by you during the calendar year _____
14 Metric tons of nonqualified carbon oxide stored by you during the calendar year (metric tons should be from Model Certificate DISP‐Operator, Table 3) _____
15 Add lines 11 and 13. Total amount of qualified carbon oxide injected (amount should agree with the figure reported for you in Model Certificate DISP-Operator, Table 3) _____
16 Add lines 12 and 14. Total amount of qualified carbon oxide stored (amount should agree with the figure for you in Model Certificate DISP-Operator, Table 3) _____
17 Reserved for future use.
18 Check here if you attest that the supplier of qualified carbon oxide elected to allow you to claim some or all of the carbon oxide sequestration credit attributable to their qualified carbon oxide. If you checked the box, attach a copy of Model Certificate ELECT signed by the supplier for this calendar year
 
Under penalties of perjury, I attest that I am an officer of the company that is the owner of the subject DISP project. I further attest that the above information is true and correct and that I have provided a signed copy of this completed certificate to each person who supplied qualified carbon oxide to my company for use at the subject DISP project during this calendar year.
 
         
Signature and date signed
 
               
Printed or typed name of person signing this report
 
               
Title
 
   
Company's name and EIN
 
Model Certificate DISP‐Owner
 

Model Certificate EOR‐Operator

Enhanced Oil Recovery Operator Certification 2021
Name(s) shown on return: Identifying number:
Information about the owners of the EOR project:
1 In Table 1 below, list information about each owner of the EOR project during the calendar year. If there are more than four owners, prepare a separate table with all the owner information and attach it to this model certificate.
  If one or more of the owners is a partnership or S corporation, provide information for the pass-through entity, not partners or shareholders.
  If one or more of the owners is part of a joint venture that has elected out of subchapter K of the Code, provide the information for all such owners.
  Table 1 — Information About the Owner(s) of the EOR Project
  EOR project owner Name Address EIN Operating interest (%)
  1        
  2        
  3        
  4        
 
Information about the EOR project:
2 Name and location (county and state) _____
3 List the name and EIN of the person who, for purposes of Regulations section 1.45Q-2(h), is the operator of the project _____
4 List any other companies that are identified as the operator of the project for any other purpose(s) and the nature of the purpose _____
5 EPA e-GGRT ID number(s)* _____
6 Date (MM/YYYY) on which the injection of captured qualified carbon oxide began _____
7 If the project was previously certified under section 43, state the name of the certified project and date (MM/DD/YYYY) of the petroleum engineer's certification _____
8 If the project wasn’t previously certified under section 43, attach a copy of a valid petroleum engineer's certification to this Model Certificate EOR-Operator.
  Yes No
9 Is this project an enhanced natural gas recovery project?
10 Are all injection wells appropriately permitted? See Secure geological storage, earlier
11 If you answered “No” to line 10, the carbon oxide sequestration credit can’t be claimed.
12 Are any of the wells in the project EPA Class VI?
13 If you answered “Yes” to line 12, check here to declare that all figures of stored qualified carbon oxide on this model certificate are consistent with figures reported to the EPA pursuant to the applicable MRV plan and subpart RR of EPA’s Greenhouse Gas Reporting Program
14 If you answered “Yes” to line 12, provide the EPA approval date (MM/DD/YYYY) of the MRV plan, and attach a copy of the approved MRV plan or its URL on the EPA's website _____
15 If you answered “Yes” to line 10 and “No” to line 12, are you relying on subpart RR of the Greenhouse Gas Reporting Program or ISO 27916 to demonstrate secure storage (check which one)? ❑ Subpart RR ❑ ISO 27916
16 If line 15 is subpart RR, provide the EPA approval date (MM/DD/YYYY) of the MRV plan, and attach a copy of the approved MRV plan or its URL on the EPA's website _____
17 If line 15 is ISO 27916, attach a copy of the ISO 27916 documentation for the year.
18 If line 15 is ISO 27916, attach a copy of the certification completed by a qualified independent engineer or geologist.
Information about the qualified carbon oxide supplied to the EOR project and securely stored:
19 In Table 2, provide information about all suppliers of qualified carbon oxide during the calendar year. “Qualified” carbon oxide means carbon oxide from a supplier who attests that the carbon oxide was captured at one of its qualified 45Q facilities. For qualified carbon oxide, “supplier” means the person who captured the qualified carbon oxide, who may differ from the company that sold the carbon oxide or physically delivered the carbon oxide to the owner of the EOR utilization facility.
* if available
Model Certificate EOR‐Operator
 

Page 2
Enhanced Oil Recovery Operator Certification (continued)
  Table 2 — Information About Suppliers of Qualified Carbon Oxide
  Qualified carbon oxide supplier Name EIN Name of capture facility Location of capture facility
(county, state)
Check if supplier provided any qualified carbon oxide Check if supplier provided any nonqualified carbon oxide
  1        
  2        
  3        
20 Complete Table 3 below using information that conforms to all applicable EPA filings and certified ISO 27916 documentation if it was used to demonstrate secure storage. If there are more than four owners of the EOR project or three suppliers of qualified carbon oxide, prepare a separate table that includes all relevant information and attach it to this model certificate.
21 Check here to attest that all figures in Table 3 conform to all applicable EPA filings and certified ISO 27916 documentation
  Table 3 — Information About Enhanced Oil Recovery
      Qualified carbon oxide supplier number 1 Qualified carbon oxide supplier number 2 Qualified carbon oxide supplier number 3 Total qualified carbon oxide from all suppliers All other suppliers of nonqualified carbon oxide Total metric tons for all carbon oxide suppliers
    (A) EOR project owner (B) Metric tons delivered (C) Metric tons stored (D) Metric tons delivered (E) Metric tons stored (F) Metric tons delivered (G) Metric tons stored (H) Metric tons delivered (add columns (B), (D), and (F)) (I) Metric tons stored (add columns (C), (E), and (G)) (J) Metric tons delivered (K) Metric tons stored (L) Metric tons delivered (add columns (H) and (J)) (M) Metric tons stored (add columns (I) and (K))
  1                          
  2                          
  3                          
  4                          
  5 Total (add lines 1 through 4)                        
Under penalties of perjury, I attest that I am an officer of the company that is the operator of the subject EOR project or that I have been designated by the operating interest owners to prepare and submit this certificate to the IRS on their behalf. I further attest that the above information is true and correct.
 
                 
Signature and date signed
 
                 
Printed or typed name of person signing this report
 
                 
Title
 
                 
Company's name and EIN
 
Model Certificate EOR‐Operator
 

Model Certificate EOR‐Owner

  Enhanced Oil Recovery Owner Certification 2021
Name(s) shown on return: Identifying number:
Information about you, the owner of the EOR project:
1 Name _____
2 Address _____
3 EIN _____
Information about all suppliers of qualified carbon oxide to you. Complete multiple model certificates if you had more than one supplier of qualified carbon oxide:
4 Name _____
5 EIN _____
6 Name and location (county, state) of qualified carbon oxide capture facility _____
7 Type of industrial facility at which the supplier captured its qualified carbon oxide _____
8 Check here if you were one of the suppliers. Don’t check unless the EIN of the supplier of the qualified carbon oxide is the same as the EIN of the entity that is an owner of the geologic disposal site. If the EINs aren’t the same, there must be a binding written contract between the entities
9 Unless line 8 is checked, do you attest that a binding written contract between you and the supplier exists that ensures that you will securely store the qualified carbon oxide in the manner required under section 45Q and the underlying regulations? Yes No
10 Provide the date (MM/DD/YYYY) of the contract referenced in the line above or the date of the most recent amendment _____
11 Metric tons of qualified carbon oxide received from the supplier during the calendar year (metric tons should agree with the figure reported for you for this supplier by the project's operator in Model Certificate EOR‐Operator, Table 3) _____
12 Metric tons of qualified carbon oxide stored by you during the year (metric tons should agree with the figure reported for you for this supplier by the disposal site's operator in Model Certificate EOR‐Operator, Table 3) _____
13 Metric tons of nonqualified carbon oxide received by you during the year _____
14 Metric tons of nonqualified carbon oxide utilized as a tertiary injectant stored by you during the calendar year (metric tons should be from Model Certificate EOR-Operator, Table 3) _____
15 Add lines 11 and 13. Total amount of qualified carbon oxide injected (amount should agree with the figure for you in Model Certificate EOR-Operator, Table 3) _____
16 Add lines 12 and 14. Total amount of qualified carbon oxide stored (amount should agree with the figure for you in Model Certificate EOR-Operator, Table 3) _____
17 Reserved for future use.
18 Check here if you attest that the supplier of qualified carbon oxide elected to allow you claim some or all of the carbon oxide sequestration credit attributable to their qualified carbon oxide. If you checked the box, attach a copy of Model Certificate ELECT signed by both you and the supplier for this calendar year
 
Under penalties of perjury, I attest that I am an officer of the company that is the owner of the subject EOR project. I further attest that the above information is true and correct and that I have provided a signed copy of this completed certificate to each person who supplied qualified carbon oxide to my company for use at the subject EOR project during this year.
 
   
Signature and date signed
 
   
Printed or typed name and title of person signing this report
 
   
Title
 
   
Company's name and EIN
 
Model Certificate EOR‐Owner
 

Model Certificate UTZ

Utilization Certification 2021
Name(s) shown on return: Identifying number:
Part 1. Information About the Owner(s) or Lessee(s) of the Qualified Carbon Utilization Facility
1 In Table 1 below, list information about each owner or lessee of the qualified carbon oxide utilization facility during the calendar year. If there are more than four owners or lessees, prepare a separate table with all the owner or lessee information and attach it to this model certificate.
  Note. If one or more of the owners is a partnership or S corporation, provide information for the pass-through entity, not partners or shareholders.
  Table 1 — Information About the Owner(s) or Lessee(s) of the Qualified Carbon Utilization Facility        
    Owner/Lessee Name Address EIN Operating interest (%)        
  1                  
  2                  
  3                  
  4                  
  Total                  
2 Name of the utilization facility _____
3 Location of the utilization facility (street, county, and state) _____
4 Registered owner or operator _____
5 Provide information about utilization of qualified carbon oxide at this facility below.
  Check all that apply Describe in more detail how the qualified carbon oxide is utilized
  a Fixation through photosynthesis or chemosynthesis, such as through the growing of algae or bacteria.  
  b Chemical conversion to a material or chemical compound in which qualified carbon oxide is securely stored.  
  c For any other purpose for which a commercial market exists (with the exception of use as a tertiary injectant in a qualified enhanced oil or natural gas recovery project), as determined by regulations or other official guidance.  
                                  Yes No
5.1 Do you attest that a commercial market exists for your particular product, process, or service?
5.2 Have you attached a statement substantiating that a commercial market exists? Don’t complete this model certificate unless you answered “Yes” to the questions on lines 5.1 and 5.2. See instructions
 
Model Certificate UTZ
 

Page 2
Part 1. Information About the Owner(s) or Lessee(s) of the Qualified Carbon Utilization Facility (continued)
Information about the qualified carbon oxide supplied to the utilization facility:
6 In Table 2, provide information about all suppliers of qualified carbon oxide during the calendar year. “Qualified” carbon oxide means carbon oxide from a supplier who attests that the carbon oxide was captured at one of its qualified 45Q facilities. “Supplier” means the person who captured the qualified carbon oxide, which may differ from the company that sold the carbon oxide or physically delivered the carbon oxide to the owner of the utilization facility. If there are more than three suppliers of qualified carbon oxide to the utilization facility, prepare a separate table with all information and attach it to this model certificate.
  Table 2 — Information About Qualified Carbon Oxide Supplier
  Qualified carbon oxide supplier Name EIN Name of capture facility Location of capture facility (county, state) EPA e-GGRT ID number(s)* Check if supplier supplied any nonqualified carbon oxide
  1          
  2          
  3          
7 List all suppliers of nonqualified carbon oxide _____
8 Complete Table 3 below using information that conforms to the Life Cycle Assessment (LCA) that was approved by the Department of Energy and the IRS. If there are more than four owners of the utilization facility or three suppliers of qualified carbon oxide, prepare a separate table with all information and attach it to this model certificate.
9 Check here to attest that all figures in Table 3 conform to the LCA that was subject to a technical review by the DOE, and approved by the IRS
10 Attach a copy of the LCA approval letter from the IRS. Don’t file this model certificate if you haven’t received the approval letter.
  Table 3 — Information About Utilization
    Name of qualified carbon oxide supplier 1 Name of qualified carbon oxide supplier 2 Name of qualified carbon oxide supplier 3 Total qualified carbon oxides from all suppliers Total nonqualified carbon oxide from all suppliers Sum for all carbon oxide suppliers
  (A) Owner or lessee of utilization facility (B) Metric tons of qualified carbon oxide delivered to utilization facility (C) Metric tons of qualified carbon oxide utilized (D) Metric tons of qualified carbon oxide delivered to utilization facility (E) Metric tons of qualified carbon oxide utilized (F) Metric tons of qualified carbon oxide delivered to utilization facility (G) Metric tons of qualified carbon oxide utilized (H) Metric tons of carbon oxide delivered to utilization facility (add columns (B), (D), and (F)) (I) Metric tons of carbon oxide utilized (add columns (C), (E), and (G)) (J) Metric tons of carbon oxide delivered to utilization facility (K) Metric tons of carbon oxide utilized (L) Metric tons of carbon oxide delivered to utilization facility (add columns (H) and (J)) (M) Metric tons of carbon oxide utilized (add columns (I) and (K))
  1                        
  2                        
  3                        
  4                        
  Total                        
* if available
Model Certificate UTZ
 

Page 3
Part 1. Information About the Owner(s) or Lessee(s) of the Qualified Carbon Utilization Facility (continued)
                                  Yes No
11 If the total for column (H) is less than 25,000 metric tons. have you verified with the supplier that its facility meets the minimum capture requirements?
 
Part 2. Information About the Life Cycle Assessment (LCA) and This Claim
 
1 Title of the LCA submitted to the Department of Energy (DOE) _____
2 Date (MM/DD/YYYY) the LCA was submitted to the DOE _____
3 Project or LCA number assigned by the DOE _____
4 Date (MM/DD/YYYY) approval letter for the utilization facility was received from the IRS _____
5 Attach a copy of the approval letter from IRS.
6 State if you are applying the TD or the NPRM _____
 
Model Certificate UTZ
 

Page 4
Utilization Certification (continued)
Part 3. Information About You and Each of Your Suppliers of Qualified Carbon Oxide
Information about you, the owner or lessee of the utilization project:
1 Name _____
2 Address _____
3 EIN _____
Information about all suppliers of qualified carbon oxide to you. Complete multiple model certificates if you had more than one supplier of qualified carbon oxide:
4 Supplier's name _____
5 Supplier's EIN _____
6 Name and location of qualified carbon oxide capture facility (if supplier supplied any qualified carbon oxide) _____
7 Type of industrial facility at which the supplier captured its qualified carbon oxide _____
8 Check here if you were one of the suppliers. Don’t check unless the EIN of the supplier of the qualified carbon oxide is the same as your EIN. If the EINs aren’t the same, there must be a binding written contract between the entities
9 Unless line 8 is checked, do you attest that a binding written contract between you and the supplier exists that ensures that you will utilize its qualified carbon oxide in the manner required under section 45Q(f)(5) and the underlying regulations? Yes No
10 Provide the date (MM/DD/YYYY) of the contract referenced in the line above or the date of the most recent contract amendment _____
11 Metric tons of qualified carbon oxide received from the supplier during the year and used in the process indicated on line 6 (metric tons should agree with the figure reported in Table 3) _____
12 Metric tons of the supplier's qualified carbon oxide, expressed as carbon dioxide equivalent, utilized in your facility and determined by an LCA (metric tons should agree with the figure reported in Table 3) _____
13 Metric tons of the supplier's nonqualified carbon oxide, expressed as carbon dioxide equivalent, utilized in your facility and determined by an LCA (metric tons should be part of the figure in Table 3) _____
14 Check here if you attest that the supplier of qualified carbon oxide elected to allow you to claim some or all of the carbon oxide sequestration credit attributable to their qualified carbon oxide. Attach a copy of Model Certificate ELECT signed by both you and the supplier for this year
 
Model Certificate UTZ
 

Page 5
Utilization Certification (continued)
                                     
Under penalties of perjury, I attest that I am an officer of the company that is the owner of the subject utilization project. I further attest that the above information is true and correct and that I have provided a signed copy of this completed certificate to each person who supplied qualified carbon oxide to my company for use at the subject utilization facility during this year.
 
                     
Signature and date signed
 
                     
Printed or typed name of person signing this report
 
                     
Title
 
                     
Company's name and EIN
 
                     
 
 
 
Model Certificate UTZ
 

Model Certificate ELECT

Election Certification 2021
Name(s) shown on return: Identifying number:
Part 1
Electing taxpayer's information from Model Certificate CF:
1 Name _____
2 Address _____
3 TIN _____
4 Location of capture facility _____
5 Placed-in-service date of carbon capture equipment. See Rev. Rul. 2021-13, 2021-30 I.R.B. 152 _____
6 Type of industrial facility _____
7 EPA e-GGRT ID number(s)* of each qualified facility where carbon oxide was captured _____
Information about the credit claimant. Complete a separate Model Certificate ELECT for each credit claimant (see instructions):
8 Name _____
9 Address _____
10 TIN _____
11 Do you attest that the credit claimant isn’t a subcontractor? If you can’t answer “Yes,” you can’t elect to allow the credit claimant to claim any of your credit Yes No
12 Check which statement applies:
  a Credit claimant disposed of qualified carbon oxide in secure geological storage and didn’t use it as a tertiary injectant in a qualified enhanced oil or natural gas recovery project, nor utilized it in a way described in section 45Q(f)(5).
  b Credit claimant disposed of qualified carbon oxide in secure geological storage and used it as a tertiary injectant in a qualified enhanced oil or natural gas recovery project.
  c Credit claimant utilized qualified carbon oxide in a way described in section 45Q(f)(5).
13 Location of disposal site if box 12a or 12b was checked _____
14 EPA e-GGRT ID number(s)* of each disposal site if box 12a or 12b was checked _____
15 Check which statement applies:
  a Qualified carbon oxide captured using carbon capture equipment originally placed in service at a qualified facility before February 9, 2018, disposed of in secure geological storage, and not used as a tertiary injectant in a qualified enhanced oil or natural gas recovery project, nor utilized in a way described in section 45Q(f)(5).
  b Qualified carbon oxide captured using carbon capture equipment originally placed in service at a qualified facility before February 9, 2018, disposed of in secure geological storage, and used as a tertiary injectant in a qualified enhanced oil or natural gas recovery project.
  c Qualified carbon oxide captured using carbon capture equipment originally placed in service at a qualified facility before February 9, 2018, and utilized as described in section 45Q(f)(5).
  d Qualified carbon oxide captured using carbon capture equipment originally placed in service at a qualified facility on or after February 9, 2018, during the 12-year period beginning on the date the equipment was originally placed in service, disposed of in secure geological storage, and not used as a tertiary injectant in a qualified enhanced oil or natural gas recovery project, nor utilized as described in section 45Q(f)(5).
  e Qualified carbon oxide captured using carbon capture equipment originally placed in service at a qualified facility on or after February 9, 2018, during the 12-year period beginning on the date the equipment was originally placed in service, disposed of in secure geological storage, and used as a tertiary injectant in a qualified enhanced oil or natural gas recovery project.
  f Qualified carbon oxide captured using carbon capture equipment originally placed in service at a qualified facility on or after February 9, 2018, during the 12-year period beginning on the date the equipment was originally placed in service, and utilized as described in section 45Q(f)(5).
16   If box 15a, 15b, or 15c was checked, check here if you elect to claim the credit rates for equipment placed in service prior to the enactment of the Bipartisan Budget Act of 2018.
17 Check the correct credit rate that applies for 2021 based on the boxes checked for lines 12, 15, and 16.    
  a $24.10 ($20 plus inflation for old equipment)
  b $12.05 ($10.00 plus inflation for old equipment)
  c $34.81 for new equipment and qualified carbon oxide disposed of in secure storage and not used in EOR
  d $22.68 for new equipment and qualified carbon oxide disposed of in secure storage and used in EOR or utilized in a manner described in section 45Q(f)(5)
 
 
 
 
* if available
Model Certificate ELECT
Page 2
Election Certification (continued)
Part 2
1 If box 12a was checked, metric tons of qualified carbon oxide captured by the Electing Taxpayer and disposed of in secure geological storage by the Credit Claimant and not used as a tertiary injectant in a qualified enhanced oil or natural gas recovery project, nor utilized it in a way described in section 45Q(f)(5) (metric tons should agree with the amount on Model Certificate DISP-Owner, line 12) _____
2 If box 12b was checked, metric tons of qualified carbon oxide captured by the Electing Taxpayer and disposed of in secure geological storage by the Credit Claimant and used as a tertiary injectant in a qualified enhanced oil or natural gas recovery project (metric tons should agree with the amount on Model Certificate EOR-Owner, line 12) _____
3 If box 12c was checked, metric tons of the Electing Taxpayer's qualified carbon oxide, expressed as carbon dioxide equivalent, utilized in the Credit Claimant's facility and determined by an LCA (metric tons should agree with the amount in Model Certificate UTZ, Part 3, line 12) _____
4 Metric tons of qualified carbon oxide listed on line 1, 2, or 3, allowed by electing taxpayer to be claimed by the credit claimant. Based upon the box checked in Part 1, line 15, electing taxpayer adds this amount to Model Certificate CF, Part II, column (a) of line 1e, 2e, or 3e, or Part III, column (a) of line 4e, 5e, or 6e _____
5 2021 credit rate from line 17 of Part 1 _____
6 Multiply line 4 by line 5. Carbon oxide sequestration credit allowed by electing taxpayer to be claimed by the credit claimant. Credit claimant adds this amount to its Form 8933, line 9 _____
7 Subtract line 4 from amount listed on lines 1, 2, or 3. Metric tons of qualified carbon oxide not allowed by electing taxpayer to be claimed by the credit claimant _____
8 Multiply line 7 by line 5. Carbon oxide sequestration credit retained by the electing taxpayer _____
 
Under penalties of perjury, I attest that I am an officer of the company that is the owner of carbon capture equipment described in Part 1, lines 1 through 7. I further attest that the above information is true and correct.
 
               
Signature and date signed
 
               
Printed or typed name of person signing this report
 
               
Title
 
               
Company's name and EIN
 
Under penalties of perjury, I attest that I am an officer of the company that is the owner of the carbon oxide disposal, use, or utilization site described in Part 1, lines 8 through 12. I further attest that the above information is true and correct.
 
               
Signature and date signed
 
               
Printed or typed name of person signing this report
 
               
Title
 
               
Company's name and EIN
 
 
Model Certificate ELECT
 

Model Certificate RECAPTURE

Recapture Certification 2021
Name(s) shown on return: Identifying number:
Part 1
1 Complete Table 1 below.
  Table 1 — Information About the Owner(s) of the Geologic Disposal Site        
    2021 2020 2019 2018
  Name, EIN, and address Operating interest (%) Name, EIN, and address Operating interest (%) Name, EIN, and address Operating interest (%) Name, EIN, and address Operating interest (%)
  Owner A                
  Owner B                
  Owner C                
  Owner D                
  All other owners. Attach a complete table on a separate sheet.                
  Information about the geologic disposal site or EOR project for 2021:
2 Indicate if the project is a geologic disposal site (without EOR) or an EOR project _____
3 Name and location (county and state) _____
4 List the name and EIN of the person who, for purposes of Regulations section 1.45Q-2(h), is the operator of the project _____
5 List any other companies that are identified as the operator of the project for any other purpose(s) and the nature of the purpose(s) _____
6 EPA e-GGRT ID number(s)* _____
7 When did injection of captured carbon oxide begin (MM/YYYY)? _____
8 If the EOR project was previously certified under section 43, state the name of the certified project and the date (MM/DD/YYYY) of the petroleum engineer's certification _____
9 If the EOR project wasn’t previously certified under section 43, attach a copy of a valid petroleum engineer's certification to this Model Certificate RECAPTURE.
  Yes No
10 Is this EOR project an enhanced natural gas recovery project?
11–15 Reserved for future use.
16 If the amount of sequestered carbon oxide has been determined pursuant to 40 CFR Part 98 subpart RR, attach a copy of the approved MRV plan or provide the URL of it on the EPA's website.
17 If the amount of sequestered carbon oxide has been determined pursuant to ISO 27916, attach a copy of the ISO 27916 documentation for the calendar year. Also attach a copy of the certification by a qualified independent engineer or geologist.
* if available
Model Certificate RECAPTURE
 

Page 2
Part 2. Determination of Recaptured Qualified Carbon Oxide
1 List the total metric tons of qualified carbon oxide securely stored in the geologic disposal site or EOR project during 2021 _____
2 Metric tons of qualified carbon oxide that, during 2021, the owner, operator, or regulatory agency determined has leaked from the containment area of the reservoir during 2021 or previous calendar years if not previously accounted for _____
3 Metric tons of qualified carbon oxide that, during 2021, the owner, operator, or regulatory agency determined has leaked from the containment area of the reservoir during 2021 or previous calendar years if not previously accounted for, and will eventually migrate to the atmosphere _____
4 If line 3 is less than line 2, attach a statement explaining how you determined that the qualified carbon oxide won’t eventually migrate to the atmosphere.    
5 Subtract line 1 from line 3. If greater than zero, a recapture event has occurred. This is the qualified carbon oxide subject to recapture. See Regulations section 1.45Q-5(d). Complete the remainder of Part 2. Don’t complete this model certificate if a recapture event didn’t occur _____
6 Attach a statement describing the cause of the leakage of qualified carbon oxide.
7 Which regulatory agencies were made aware of the leakage of qualified carbon oxide? _____
8 Attach a copy of Model Certificate DISP-Operator or Model Certificate EOR-Operator for this disposal site for each of the previous THREE calendar years.
9 Complete Table 2 below.
10 In column (C), list the amount of total carbon oxide stored in each of the THREE calendar years prior to the current calendar year. This would be from Model Certificate EOR-Operator, Table 3, column (M), row (5), for each year.
11 In columns (E), (F), (G), (H), and (I), allocate the amount in column (D) to each owner of the geologic disposal site or EOR project for each year. Check the box if the carbon oxide was qualified. Use two columns for any owner that stored both qualified and nonqualified carbon oxide. If more columns are needed, attach a separate table that shows the allocation for all owners. You should allocate the amount of stored carbon oxide on a pro rata basis, using figures from Model Certificate EOR-Operator, Table 3, of each year, unless there is a sound engineering basis to do otherwise.
12 Check here if the allocation of the amounts in column (D) were done in a manner other than pro rata and attach an explanatory statement
  Table 2 — Information About Stored Carbon Oxide Subject to Recapture
    (A) Year prior (B) Year (C) Metric tons of stored carbon oxide from Table 3 of the applicable Operator Certificate for the indicated year (D) Stored carbon oxide subject to recapture* Allocation of stored carbon oxide subject to recapture
  Owner name and EIN (E) (F) (G) (H) (I) (J) (K)
            Reserved for future use Total. Add columns (E) through (I)
  Check if carbon oxide was qualified
carbon oxide
   
  (1) 1st 2020                    
  (2) 2nd 2019                  
  (3) 3rd 2018                  
  (4) Total. Add rows (1) through (3).      
  (5) Subtract Part 2, line 5, from column (D), row (4). Metric tons of carbon oxide not subject to recapture due to look-back being limited to THREE calendar years.  
13 Provide a copy of Parts 1 and 2 to each owner of the disposal site or EOR project during the current and THREE previous calendar years.
                                         
Model Certificate RECAPTURE
 

Page 3
Recapture Certification (continued)
                                         
Under penalties of perjury, I attest that I am an officer of the company that is the operator of the subject geologic disposal site or the subject EOR project or have been designated by the operating interest owners to prepare and submit this certificate to the IRS on their behalf. I further attest that the above qualified carbon oxide sequestration credit recapture information is true and correct.
 
                           
Signature and date signed
 
                           
Printed or typed name of person signing this report
 
                           
Title
 
                           
Company's name and EIN
 
                           
 
                                         
                                         
 
Part 3. Determination of Recaptured Qualified Carbon Oxide for Supplier
Part 3 will be prepared by each owner of the disposal site or EOR project during the current and THREE previous calendar years. Part 3 will be used to determine the amount of qualified carbon oxide sequestration credit that needs to be recaptured. A separate Part 3 should be completed for each supplier of qualified carbon oxide during the current and THREE previous calendar years and a copy should be give to each supplier.
                                         
Information about you, the owner of the EOR project:
1 Name _____
2 Address _____
3 EIN _____
                                         
Information about suppliers who supplied carbon oxide during any of the THREE previous calendar years. COMPLETE A PART 3 FOR EACH SUPPLIER:
4 Name _____
5 EIN _____
6 Name and location of carbon oxide capture facility (if supplier supplied any qualified carbon oxide) _____
7 Type of industrial facility at which the supplier captured its qualified carbon oxide _____
8 Complete Table 5 using information from Table 3 of Model Certificate EOR for the previous THREE calendar years. Complete a separate Table 5 for each supplier of qualified carbon oxide during the previous THREE calendar years. If one supplier supplied qualified carbon oxide from multiple facilities, complete a Table 5 for each facility.
                                         
                                         
                                         
                                         
                                         
                                         
                                         
                                         
                                         
                                         
                                         
Model Certificate RECAPTURE
 

Page 4
Recapture Certification (continued)
  Table 5 — Information About Carbon Oxide Sequestration Credit Subject to Recapture by Supplier
      Supplier Name:
    (A) Year prior (B) Year (C) Total metric tons of stored carbon oxide from Table 2 (D) Total metric tons of stored carbon oxide subject to recapture (E) Your amount of qualified carbon oxide subject to recapture (F) Rate of carbon oxide sequestration credit for the year ($/MT) (G) Metric tons of carbon oxide for which the supplier elected to allow you to claim the carbon oxide sequestration credit (MT) (H) Amount of carbon oxide sequestration credit for which the supplier elected to allow you to claim the carbon oxide sequestration credit ($). Multiply column (G) by column (F). (I) Metric tons of carbon oxide for which the supplier didn’t elect to allow you to claim the carbon oxide sequestration credit (MT). Subtract column (G) from column (E). (J) Amount of carbon oxide sequestration credit for which the supplier didn’t elect to allow you to claim the carbon oxide sequestration credit ($). Multiply column (I) by column (F).
 
  (1) 1st 2020                
  (2) 2nd 2019                
  (3) 3rd 2018                
  (4) Total metric tons. Add rows (1) through (3)        
  (5) Amount of carbon oxide sequestration credit you must recapture this year for carbon oxide supplied by this supplier. Add rows (1) through (3). Add to your Form 8933, Part IV, line 12      
  (6) Total metric tons. Add rows (1) through (3)    
  (7) Amount of carbon oxide sequestration credit the supplier of carbon oxide must recapture this year. Add rows (1) through (3). The supplier must add this amount to its Form 8933, Part IV, line 12  
 
Under penalties of perjury, I attest that I am an officer of the company that is the owner of the subject geologic disposal site or the subject EOR project. I further attest that the above information is true and correct and that I have provided a signed copy of this completed recapture certificate to each person.
 
                           
Signature and date signed                    
 
                           
Printed or typed name of person signing this report                          
 
                           
Title                          
 
                           
Company's name and EIN                          
 
                           
                           
                                         
                                         
Model Certificate RECAPTURE
 

Instructions for Form 8933 - Notices

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The time needed to complete and file this form will vary depending on individual circumstances. The estimated burden for individual and business taxpayers filing this form is approved under OMB control number 1545-0074 and 1545-0123 and is included in the estimates shown in the instructions for their individual and business income tax return. The estimated burden for all other taxpayers who file this form is shown below.

Recordkeeping 1 hr., 54 min.
Learning about the law or the form 6 min.
Preparing and sending the form to the IRS 7 min.

If you have comments concerning the accuracy of these time estimates or suggestions for making this form simpler, we would be happy to hear from you. See the instructions for the tax return with which this form is filed.