In today’s sustainable and environmentally responsible world, it is necessary to track and regulate a country’s CO2 emissions. This paper will evaluate if carbon credits in the form of carbon taxes have an effect on CO2 emissions and if there is, to what extent. The data used are from countries that have successfully established carbon tax. The paper will investigate the above by using a Linear Regression Model with the carbon tax, GDP per capita, and Area of the country as the explanatory variables and CO2 emission as a dependent variable.