On Dec. 19, 2025, the IRS and the Department of the Treasury provided guidance on claiming the carbon capture tax credit (Section 45Q) for qualified carbon oxide captured and permanently stored underground in 2025. Notice 2026-01 provides a safe harbor for determining eligibility and calculating the credit. If the Environmental Protection Agency's electronic Greenhouse Gas Reporting Tool isn't available by June 10, 2026, taxpayers may submit an annual report certified by a qualified independent engineer or geologist showing compliance with greenhouse gas reporting rules effective as of Dec. 31, 2025. Have questions? We're here to help.
