"As a tremendous source of revenue that fuels the U.S. economy, major energy producers pay their fair share: the oil and natural gas industry pays income taxes, royalties and other fees totaling nearly $86 million every day. The industry also pays the federal government significant rents, royalties and lease payments for production—totaling more than $100 billion since 2000."
"Supporting our economy, U.S. energy companies pay income taxes at an effective rate far higher than most other manufacturing companies. In 2011, oil and natural gas industry income tax expenses (as a share of net income before income taxes) averaged 40.6 percent, compared to 25.1 percent for other S&P Industrial companies."
---------------------------------
Gringo - Who cares where my reference came from? The fact is that they support almost 10% of all of the jobs here in the U.S. and pay far and above that $41 billion in subsidies. The oil, gas, coal industries totally support Government AGW research and pay for all of it with what they pay the Government in taxes. They also pay for their own research. So quit crying and get back in your rocking chair. Pick up your pipe. It's right behind you.
To explore and drill on federal property requires a permit. The cost of that permit is low, but it's also tax deductible. If oil is discovered the government allows a depletion allowance. Another tax deduction, though there is no real expense to the oil company. Pipelines that are extended through private property are usually purchased by the government under Eminent Domain laws and then given to the oil companies for a small fee...also tax deductible. Oil companies take full advantage of all infrastructure paid for by taxes. Any health issues generated by oil industry activities are not paid for by the oil industry. The largest subsidy is our military forces dedicated to protecting oil companies in the middle east. If the oil industry had to hire mercenaries to protect their overseas assets they wouldn't be able to afford it. You can do a web search under Oil Subsidies for more details....no loony left required.
Broadly Available Tax Provisions Are Not Oil Subsidies
In many cases, what the President and anti-oil crusaders label an oil subsidy is neither a subsidy nor a tax treatment specific to the oil and gas industry. These are broad tax policies that apply to many industries. When the Administration takes aim at these provisions specifically in the oil and gas industry, it is essentially a targeted tax hike. These provisions include:
What that phrase really means is a reduction in taxes. It should also be noted that "fossil fuel subsidies" also include fuel tax breaks for groups like farmers and programs Low Income Home Energy Assistance Program which help low income earners to keep their homes warm. Note for example that fuel tax breaks for farmers amounts to about one quarter of the US subsidies at about $1B per year. This makes sense since fuel taxes are used for roads, bridges, snow removal etc. and farm equipment uses none of those (in general).
The reduction in taxes is part of corporate tax law and applies to all corporations from Microsoft to Pepsi to Nike to Yahoo. And these corporations need to do something positive to earn a tax break like research, hiring new staff, expanding, keeping manufacturing in the country, etc. Those are generally good for the economy which is usually the intent of tax breaks.
Another thing to ask yourself is: just who owns these energy companies? If you look you'll find the vast majority of shares are owned by mutual funds and pension funds. I.e. it's the middle class or the 99% as it were that owns these companies and uses the profits to retire comfortably.
With fuel prices in the UK being comprised of 60% tax and a further 20% tax added at point of sale, there are no subsidies, just exploitation of the public by the govt.
<
You ask, we Google search!
" The Congressional Research Service states the fledgling oil industry in the United States first received government assistance in 1916. That was when intangible drilling costs were able to be fully deducted from a company's expenses for tax purposes. In 1926, a write-off for cost depletion was introduced. That provision allowed oil companies to deduct costs based upon overall gross receipts and not just the actual value of the oil.
Both of those subsidies still exist. The Obama administration claims the average subsidy for huge oil companies is $4 billion per year. The bill in the Senate would have saved $24 billion in 10 years. The White House claims when gas goes up one cent per gallon, oil companies make $200 million more per month. " http://news.yahoo.com/history-u-oil-subs...
&
"Budget hawks: Does US need to give gas and oil companies $41 billion a year?"
Excerpt:
"Those figures mean that subsidies to industries involved in fossil fuels total about $52 billion when adjusted for inflation – about two-thirds all federal energy subsidies. " http://www.csmonitor.com/USA/Politics/20...
&
"Federal Oil and Gas Tax Subsidies" http://www.window.state.tx.us/specialrpt...
Edit @ Pat:
<
And then you link to a website by the American Petroleum Institute yet call me the 'friggin idiot'.
LMAO
Edit2 @ Pat:
<
You obviously not.
API has a long history of pushing their points while conveniently ignoring the ones that potential would hurt them. That's their right but it doesn't make everything they say or claim completely true.
<
Are you really, really that naive? API has been trying to undermine AGW related policies for decades now. Ask Willie Soon & Sally Baliunas who paid for their thoroughly debunked research. Look at API's fake grass-root campaigns complete with fake citizens.
I suppose Bush spent $2 trillion of taxpayers money invading Iraq to protect America's access to date palms.
It is a loony left mantra.
" just where?
The phrase "taxpayer subsidies for oil, gas and coal production and consumption," is often bandied around .
Can we have one example of where the taxpayer subsidizes fossil fuel consumption?
Or production, come to that?
Or is this yet another looney left mantra?
