Carbon Capture (CCUS) - 45Q Tax Credit Accrual
Recognizing tax credits generated by permanently capturing and geologically sequestering industrial CO2 emissions.
| Account Name | Type | Debit ($) | Credit ($) |
|---|---|---|---|
| Tax Receivable - 45Q Credits | Asset (+) | 425,000.00 | - |
| Other Income / Tax Benefit - CCUS | Revenue (+) | - | 425,000.00 |
💡 Accountant's Note
In the US, Section 45Q provides a per-ton tax credit for carbon oxide captured and safely stored. This acts similarly to a PTC and is recorded as the metric tons are injected into Class VI wells.
Practitioner & Systems Framework
💻 ERP Architecture
Accrual based on the telemetry data from the injection well flow meters. Subject to strict EPA MRV (Monitoring, Reporting, and Verification) plans.
⚠️ Audit Flags
High risk of recapture if CO2 leaks. Auditors verify the volumes injected against EPA submittals and check for any recorded surface leakage events.
📄 Required Documentation
EPA MRV reporting, injection well flow meter logs, lifecycle GHG analysis.
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