Carpet can be recycles although it is not the easiest process since it has not been full developed yet. There are recycling centers, although many places charge a fee per pound to take it. Carpet can also be reused for many different things in the house and around the yard for a different form of recycling. Check out http://www.carpetrecovery.org for other ideas and locations to turn in your carpet.
If you want to avoid the carpet recycle fee often charged carpet recyclers, you can always check into nurseries, preschools, sunday schools, etc. Many times, these places take squares of carpet for the kids to sit on during story time.
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