### Question
What does refined coal mean?


### Answer
**Refined coal** has the following meaning in *26 U.S.C. § 45*:

> a fuel—


(i) which—


(I) is a liquid, gaseous, or solid fuel produced from coal (including lignite) or high carbon fly ash, including such fuel used as a feedstock,


(II) is sold by the taxpayer with the reasonable expectation that it will be used for purpose [2](#45_2_target) of producing steam, and


(III) is certified by the taxpayer as resulting (when used in the production of steam) in a qualified emission reduction.[3](#45_3_target)


  

(ii) which is steel industry fuel

#### Citation:
  - *26 U.S.C. § 45*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter A-Determination of Tax Liability > PART IV-CREDITS AGAINST TAX > Subpart D-Business Related Credits**

