Carbamazepine (CBZ), one of the most used pharmaceuticals worldwide and a Contaminant of Emerging Concern, represents a potential risk for the environment and human health. Wastewater treatment plants (WWTPs) are a significant source of CBZ to the environment, polluting the whole water cycle. In this review, the CBZ presence and fate in the urban water cycle are addressed, with a focus on adsorption as a possible solution for its removal. Specifically, the scientific literature on CBZ removal by activated carbon and its possible substitute Biochar, is comprehensively scanned and summed up, in view of increasing the circularity in water treatments. CBZ adsorption onto activated carbon and biochar is analyzed considering several aspects, such as physicochemical characteristics of the adsorbents, operational conditions of the adsorption processes and adsorption kinetics and isotherms models. WWTPs usually show almost no removal of CBZ (even negative), whereas removal is witnessed in drinking water treatment plants through advanced treatments (even >90%). Among these, adsorption is considered one of the preferable methods, being economical and easier to operate. Adsorption capacity of CBZ is influenced by the characteristics of the adsorbent precursors, pyrolysis temperature and modification or activation processes. Among operational conditions, pH shows low influence on the process, as CBZ has no charge in most pH ranges. Differently, increasing temperature and rotational speed favor the adsorption of CBZ. The presence of other micro-contaminants and organic matter decreases the CBZ adsorption due to competition effects. These results, however, concern mainly laboratory-scale studies, hence, full-scale investigations are recommended to take into account the complexity of the real conditions.