Why We Should Keep Tax "Loopholes" for Oil
Deborah Byers of Ernst & Young explains in Forbes why we should keep the current tax provisions for oil and gas companies, here's an excerpt:
"For the most part, energy companies are treated just like any other industry when it comes to taxes. Much of what politicians call giveaways are simply timing issues related to when particular items can be expensed – governed by provisions in the tax code established decades ago to strengthen U.S. energy production. These provisions are not tax credits, which allow for a dollar-for-dollar reduction in tax liability.
- Integrated majors like ExxonMobil won’t be affected meaningfully
- Cash-strapped independents will be hit hard
- Domestic production will be depressed
- Job growth related to the shale boom will stall
- Tax revenue will fall