S. 4222

119 S4222 IS: End Polluter Welfare for Enhanced Oil Recovery Act of 2026
 U.S. Senate
 2026-03-26
 text/xml
 EN
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 II  119th CONGRESS  2d Session  S. 4222  IN THE SENATE OF THE UNITED STATES   March 26, 2026   Mr. Merkley  (for himself,  Mr. Van Hollen ,  Mr. Markey ,  Mr. Booker ,  Mr. Sanders , and  Ms. Warren ) introduced the following bill; which was read twice and referred to the  Committee on Finance    A BILL
To amend the Internal Revenue Code of 1986 to provide for an end date for the credit for certain qualified carbon oxide, and for other purposes.
1.
Short title
This Act may be cited as the   End Polluter Welfare for Enhanced Oil Recovery Act of 2026  .
2.
Elimination of use of carbon oxide as tertiary injectant
(a)
In general
 Section 45Q(f)  of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph:
(11)
Elimination of use of carbon oxide as tertiary injectant
In the case of any qualified facility the construction of which begins after the date of the enactment of the  End Polluter Welfare for Enhanced Oil Recovery Act of 2026 , subsection (a)(3)(B)(ii) shall not apply.
 .
(b)
Effective date
The amendments made by this section shall apply to taxable years beginning after the date of the enactment of this Act.
3.
Enhanced oil recovery credit
(a)
In general
Subpart D of part IV of subchapter A of  chapter 1  of the Internal Revenue Code of 1986 is amended by striking section 43.
(b)
Conforming amendments
(1)
Section 38(b) of such Code is amended by striking paragraph (6).
(2)
Section 45I(b)(2)(B) of such Code is amended by inserting  (as in effect on the day before the date of the enactment of the  End Polluter Welfare for Enhanced Oil Recovery Act of 2026 )  after  section 43(c)(3)(B) .
(3)
Section 45K(b)(5)(A) of such Code is amended by inserting  (as in effect on the day before the date of the enactment of the  End Polluter Welfare for Enhanced Oil Recovery Act of 2026 )  after  section 43 .
(4)
Section 45Q of such Code is amended—
(A)
by striking  section 43(b)(3)(B)  each place it appears and inserting  section 43(b)(3)(B) (as in effect on the day before the date of the enactment of the  End Polluter Welfare for Enhanced Oil Recovery Act of 2026 ) , and
(B)
in subsection (e)(4), by inserting  (as in effect on the day before the date of the enactment of the  End Polluter Welfare for Enhanced Oil Recovery Act of 2026 )  after  section 43(c)(2) .
(5)
Section 196(c) of such Code is amended by striking paragraph (5) and by redesignating paragraphs (6) through (14) as paragraphs (5) through (13), respectively.
(6)
Section 6501(m) of such Code is amended by striking  43, .
(7)
The table of sections for subpart D of part IV of subchapter A of chapter 1 of such Code is amended by striking the item relating to section 43.
(c)
Effective date
The amendments made by this section shall apply to taxable years beginning after the date of the enactment of this Act.