Democratic lawmakers from the House Sustainable Energy and Environment Coalition submitted a letter to the House Ways and Means Committee leadership urging the elimination of alleged “tax breaks” for the traditional energy sector along with a myriad of other special interest requests for alternative energy. Coinciding with the G-20 Summit in Germany starting July 7, critics have similarly leveled the allegation that the U.S. government provides considerable public financing to this sector.
The fact is, the oil and gas industry does not receive tax subsidies or “tax breaks” as certain lawmakers repeatedly claim. Stop the Tax Attack (STTA) has corrected this flawed argument before – showing that the energy sector, like their counterparts in other sectors, receives standard tax deductions, which help drive economic growth throughout the U.S.
In a new infographic, STTA shows that tax provisions taken by the oil and gas industry are not exclusive to the traditional energy industry, but are actually utilized by leading industries throughout the U.S. including timber, tech, and manufacturing.
As STTA has also warned, if Congress were to eliminate just one of the current deductions – percentage depletion – the U.S. economy would suffer tremendously:
Instead of getting sidetracked by debunked arguments, lawmakers should be focusing on solutions to help American workers and families today – permanent, comprehensive tax reform that provides incentives for accelerating growth, generating new investment, and growing jobs. The American public would benefit greatly by permanent tax laws that avoid picking winners and losers in today’s economy.
Check out the full infographic on Tax Provisions and U.S. Energy here.