HB 469 creates sales tax exemptions on some equipment used in projects that capture at least half of the carbon dioxide emissions and provides local taxing authorities the ability to grant further tax breaks during the initial phase of development. Additionally, It also authorizes $100 million in franchise tax credits to the first three in-state projects that achieve a 70 percent carbon capture rate. Enhanced oil recovery efforts in Texas are rewarded with a provision that grants a 75 percent, 30-year severance tax exemption for oil recovered using carbon dioxide captured from a man-mad emission source.
