Baker Botts submitted comments to the Treasury Department and IRS on August 3, 2020 with respect to proposed regulations implementing section 45Q, the tax credit for carbon capture and sequestration. The comments raised definitional and procedural points and included suggestions for clarification with respect to issues such as the determination of binding contracts for disposal of captured carbon, qualifying for the credit pursuant to utilization of captured carbon and preparation of the associated requisite lifecycle analysis of greenhouse gases (the “LCA”), electing to transfer the credit to another taxpayer, electing in to the post-BBA credit amounts and recapture of the tax credit.
Preparation of the comments was a joint effort by a team of Baker Botts tax, environmental and energy projects lawyers, including Barbara S. de Marigny, Aileen Hooks, Tom Holmberg, Michael Bresson, Jared Meier, Jon Nelsen and Matt Donnelly.
ABOUT BAKER BOTTS L.L.P.
Baker Botts is an international law firm whose lawyers practice throughout a network of offices around the globe. Based on our experience and knowledge of our clients' industries, we are recognized as a leading firm in the energy, technology and life sciences sectors. Since 1840, we have provided creative and effective legal solutions for our clients while demonstrating an unrelenting commitment to excellence. For more information, please visit bakerbotts.com.