With gas prices exceeding $4 per gallon throughout the country, Senate Democrats are fighting to make sure that taxpayers trying to fill their tanks are getting a fairer shake -- instead of also subsidizing the oil companies raking in record profits from the high prices. This week, the Senate is poised to vote on a measure that would eliminate $21 billion in tax breaks over 10 years for major oil and gas companies.
The Close Big Oil Tax Loopholes Act would close loopholes enjoyed by multi-billion dollar energy companies like Chevron, ConocoPhilips, Exxon Mobil, and U.S. subsidiaries of BP and Shell. In the first quarter of 2011 alone, these companies reaped $36 billion in profits, money that comes straight from the pocketbooks of American families –in the form of high gas prices, and in the form of tax subsidies.
Neither President Obama nor congressional Democrats believe that ending this tax break will solve America’s energy problems or immediately lower gas prices on its own. That’s why the President put forward a plan for our country’s energy future, aiming to reduce oil imports by a third by 2025, increase domestic production right away, and invest in a long term clean-energy economy.
In a time when the public and policymakers are focused on rebuilding our economy while living within our means, American families expect the government to spend their tax dollar prudently. And tax breaks for hugely profitable oil companies is anything but prudent.
The Senate is expected to vote on this measure as early as today. Please check back for further updates.
Also, you can learn more about President Obama’s energy plan by reading the Blueprint for a Secure Energy Future.