§ 1.45X-4. Applicable critical minerals.

¶(i) Converted to antimony trisulfide concentrate with a minimum purity of 90 percent antimony trisulfide by mass; or

¶(ii) Purified to a minimum purity of 99.65 percent antimony by mass.

¶(i) Converted to copper-beryllium master alloy; or

¶(ii) Purified to a minimum purity of 99 percent beryllium by mass.

¶(i) Converted to cerium oxide that is purified to a minimum purity of 99.9 percent cerium oxide by mass; or

¶(ii) Purified to a minimum purity of 99 percent cerium by mass.

¶(i) Converted to cesium formate or cesium carbonate; or

¶(ii) Purified to a minimum purity of 99 percent cesium by mass.

¶(i) Converted to ferrochromium consisting of not less than 60 percent chromium by mass; or

¶(ii) Purified to a minimum purity of 99 percent chromium by mass.

¶(i) Converted to cobalt sulfate; or

¶(ii) Purified to a minimum purity of 99.6 percent cobalt by mass.

¶(i) Converted to not less than 99 percent pure dysprosium iron alloy by mass; or

¶(ii) Purified to a minimum purity of 99 percent dysprosium by mass.

¶(i) Converted to europium oxide that is purified to a minimum purity of 99.9 percent europium oxide by mass; or

¶(ii) Purified to a minimum purity of 99 percent of europium by mass.

¶(i) Converted to fluorspar that is purified to a minimum purity of 97 percent calcium fluoride by mass; or

¶(ii) Purified to a minimum purity of 99 percent fluorspar by mass.

¶(i) Converted to gadolinium oxide that is purified to a minimum purity of 99.9 percent gadolinium oxide by mass; or

¶(ii) Purified to a minimum purity of 99 percent gadolinium by mass.

¶(i) Converted to germanium tetrachloride; or

¶(ii) Purified to a minimum purity of 99.99 percent germanium by mass.

¶(i) Converted to—

¶(ii) Purified to a minimum purity of 99 percent indium by mass.

¶(i) Converted to lithium carbonate or lithium hydroxide; or

¶(ii) Purified to a minimum purity of 99.9 percent lithium by mass.

¶(i) Converted to manganese sulphate; or

¶(ii) Purified to a minimum purity of 99.7 percent manganese by mass.

¶(i) Converted to neodymium-praseodymium oxide that is purified to a minimum purity of 99 percent neodymium-praseodymium oxide by mass;

¶(ii) Converted to neodymium oxide that is purified to a minimum purity of 99.5 percent neodymium oxide by mass; or

¶(iii) Purified to a minimum purity of 99.9 percent neodymium by mass.

¶(i) Converted to nickel sulphate; or

¶(ii) Purified to a minimum purity of 99 percent nickel by mass.

¶(i) Converted to ferronibium; or

¶(ii) Purified to a minimum purity of 99 percent niobium by mass.

¶(i) Converted to cadmium telluride; or

¶(ii) Purified to a minimum purity of 99 percent tellurium by mass.

¶(i) Has a purity of greater than 99.99 percent by mass; and

¶(ii) Possesses an alpha emission rate of not greater than 0.01 counts per hour per centimeter square.

¶(i) Converted to yttrium oxide that is purified to a minimum purity of 99.999 percent yttrium oxide by mass; or

¶(ii) Purified to a minimum purity of 99.9 percent yttrium by mass.

¶(i) Arsenic.

¶(ii) Bismuth.

¶(iii) Erbium.

¶(iv) Gallium.

¶(v) Hafnium.

¶(vi) Holmium.

¶(vii) Iridium.

¶(viii) Lanthanum.

¶(ix) Lutetium.

¶(x) Magnesium.

¶(xi) Palladium.

¶(xii) Platinum.

¶(xiii) Praseodymium.

¶(xiv) Rhodium.

¶(xv) Rubidium.

¶(xvi) Ruthemium.

¶(xvii) Samarium.

¶(xviii) Scandium.

¶(xix) Tantalum.

¶(xx) Terbium.

¶(xxi) Thulium.

¶(xxii) Titanium.

¶(xxiii) Ytterbium.

¶(xxiv) Zinc.

¶(xxv) Zirconium.

¶(i) Conversion. For purposes of section 45X, the term conversion means a chemical transformation from one species to another.

¶(ii) Purification. For purposes of section 45X, the term purification means increasing the mass fraction of a certain element.

¶(i) In general. Costs incurred by the taxpayer with respect to the production of applicable critical minerals includes all costs as defined in § 1.263A-1(e) that are paid or incurred within the meaning of section 461 of the Code by the taxpayer for the production of an applicable critical mineral only, including direct or indirect materials costs as defined in § 1.263A-1(e)(2)(i)(A) and (e)(3)(ii)(E), respectively, but only if those direct or indirect material costs do not relate to the purchase of materials that are an eligible component at the time of acquisition (for example, an electrode active material as defined in § 1.45X-3(e)(2)(i) or applicable critical mineral as defined in paragraph (b) of this section). This definition of production costs incurred would include any costs incurred by the taxpayer related to the extraction of raw materials in the United States or a United States territory, but only if those costs are paid or incurred by the taxpayer that claims the section 45X credit with respect to the relevant applicable critical mineral. Section 263A of the Code and the regulations in this chapter under section 263A apply solely to identify the types of costs that are includible in production costs incurred for purposes of computing the amount of the section 45X credit, but do not apply for any other purpose, such as to determine whether a taxpayer is engaged in production activities.

¶(ii) Production costs for production of incorporated eligible components. The production costs that a taxpayer pays or incurs in the production of an eligible component (whether produced domestically or not) that the taxpayer then incorporates into a further distinct applicable critical mineral within the meaning of § 1.45X-1(f)(1) are not included in the costs incurred by the taxpayer in producing the further distinct applicable critical mineral. A taxpayer may not include the same production costs in the calculation of the credit amount for more than one eligible component. For example, if the taxpayer pays or incurs production costs of $50X for eligible component 1 and an additional $100X of production costs for eligible component 2 that included integrating eligible component 1 within the meaning of § 1.45X-1(f)(1), then the production costs for eligible component 1 equal $50X and the production costs for eligible component 2 equal $100X.

¶(i) Certification from any supplier, including the supplier's employer identification number and that is signed under penalties of perjury, from which the taxpayer purchased any constituent elements, materials, or subcomponents of the taxpayer's applicable critical mineral, stating that the supplier is not claiming the section 45X credit with respect to any of the material acquired by the taxpayer, nor is the supplier aware that any prior supplier in the chain of production of that material claimed a section 45X credit for the material.

¶(ii) A document that provides an analysis of any constituent elements, materials, or subcomponents that concludes the material did not meet the definition of an eligible component (for example, an applicable critical mineral or electrode active material) at the time of acquisition by the taxpayer. The document may be prepared by the taxpayer or ideally by an independent third-party.

¶(iii) A list of all direct and indirect material costs and the amount of such costs that were included within the taxpayer's total production cost for each applicable critical mineral.

¶(iv) A document related to the taxpayer's production activities with respect to the direct and indirect material costs that establishes the materials were used in the production of the applicable critical mineral. The document may be prepared by the taxpayer or ideally by an independent third-party.

¶(v) Any other information related to the direct or indirect materials specified in guidance.