Ending Oil Subsidies

Meteor Blades
From Dailykos

Responding to proposals by various Democrats, including President Obama, right-wing media have over the past few days claimed that eliminating various tax subsidies now received by oil and gas companies will drive up the price of gasoline at the pump. However, queries of energy experts by Media Matters show the premise to be false. Moreover, not only would getting rid of the subsidies have little or no impact on gas prices, neither would a windfall profits tax like the one Rep. Dennis Kucinich (OH-10) plans to reintroduce in Congress next week.

First introduced in 2005 as the Gas Price Spike Act, Kucinich's bill would tax "excessive profits" of refineries and distributors, direct the revenue to tax credits for Americans who buy super-efficient vehicles and to promote rail transit between and within urban areas. The 2005 bill died in committee.

$4 billion dollars a year.

The government spends 6.85 million per minute. Do the math. $4 billion is much less than a half day of spending.

I know the liberals have a bug up their ass on this issue, but really, it's hardly anything. Could it be directed elsewhere? Sure, but it's still peanuts.

Candidly, the conservatives should give in; then the liberals have a big moral victory with no tangible results to show other than a moral victory. That $4 billion will dissapear faster than you can say "Jackie Robinson".

One persons "bug up their ass" is another persons sane policy prescription. :)

As Oil Industry Fights a Tax, It Reaps Billions From Subsidies

http://www.nytimes.com/2010/07/04/business/04bptax.html

By DAVID KOCIENIEWSKI
Published: July 3, 201

When the Deepwater Horizon drilling platform set off the worst oil spill at sea in American history, it was flying the flag of the Marshall Islands. Registering there allowed the rig’s owner to significantly reduce its American taxes.

The owner, Transocean, moved its corporate headquarters from Houston to the Cayman Islands in 1999 and then to Switzerland in 2008, maneuvers that also helped it avoid taxes.

At the same time, BP was reaping sizable tax benefits from leasing the rig. According to a letter sent in June to the Senate Finance Committee, the company used a tax break for the oil industry to write off 70 percent of the rent for Deepwater Horizon — a deduction of more than $225,000 a day since the lease began.

Keep thinking small lol.

i have thought about you enough for today. LOL (Couldnt resist.)
Its so interesting how hard Republicans and oil companies are fighting to save this "small" amount. :)

I really don't see why republicans cling on to this. It's too small.

Hey, me and my daughter ran a 5k today! She gassed out at the 2 mile mark, but pressed onward.

Happy for your run. Congrats.

I think the answer to your question is rather obvious.

bought and paid for.................. Atypical points that out in another thread and even notes that dumocrats are included. Ha ha, look at that typo!!!!

S&L, "4 billion dollars a year"? Are you sure about that figure? i just read something different.

Here is someone talking to their congressman. The Congressman is someone who has consistently voted to maintain the oil subsidies.

CONSTITUENT: With the oil industry, we’re giving them $63 billion in oil subsidies. And you cut what, thirty one, thirty two billion? ... How about cutting that out? It’ll give you a nice tidy sum over ten years.
HULTGREN: I’m very open to looking at every subsidy that we do and questioning why we do this. And I want to know. I want to have the answers there. I just–

CONSTITUENT: But there’s no logic there. None whatsoever.

HULTGREN: Well I’ll look into that. That’s something we just talked about on the way into here.

A typical phony answer by a repuke to hide his real agenda.

Quote:

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Originally Posted by Atypical

A typical phony answer by a repuke to hide his real agenda.

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You are talking about Hultgren, correct?

Lloyd, I googled it and found a citation. Here's one from NYT,"Oil industry officials say that the tax breaks, which average about $4 billion a year according to various government reports, are a bargain for taxpayers."

http://www.nytimes.com/2010/07/04/business/04bptax.html

63 is a far cry from 4. It's most certainly worth looking in to further.