The Tax Policy Center’s 2016 report, How to Use Carbon Tax Revenues, identifies tradeoffs among tax revenue options and makes several recommendations for policy design. It recommends that governments use some revenue to reduce other taxes and to soften the blow to lower-income households, coal workers, and their communities, that they be cautious about using revenues to pursue emissions reductions the tax itself encourages, and that they avoid tight earmarks. Governments should also pay special attention to using revenue in ways that attract and sustain stakeholder and public support for a carbon tax.