They talk about cutting the debt, saving money, and ending really questionable spending practices, but one simply does not even mention discussing cutting subsidies to Big Oil or their corporate owners.
From Election Day 2012 to November 28, 2012, Big Oil spent three million bucks on ads to protect their tax loopholes! It looks like we are subsidizing big oil to the tune of anywhere from $10 billion annually (as a low estimate) to $52 as a high estimate. If this is the case, we need to eliminate all subsidies to big oil, etc. NOW.
Have you noticed that the Big Oil is not being asked to ‘contribute’ to lowering the deficit? Currently, we the little people of the United States of America are being required to give up things like shelter for the homeless, fewer needy children being fed, and not being able to watch the Blue Angels or Thunderbirds, which have been grounded, to save money. Guess who is behind it?
“…As the Center for American Progress has noted, the Ryan budget “retains $40 billion in Big Oil tax loopholes while completely eliminating investments in the clean energy technologies of the future that are essential for long-term economic growth.” CAP recently confirmed that the oil subsidies would still be protected in the latest version of the Ryan budget. …”
That’s $40 billion dollars in big oil tax loopholes – and you want to know why The Pink Flamingo has no use for anyone connected to Paul Ryan!
“...Subsidies have become increasingly contentious with President Obama recently calling for “an end to the taxpayer giveaway”. The opposition argue that it is costly renewables, not the fossil fuel industry that is uneconomical. The Congressional Budget Office (CBO) listed $24bn in subsidies. This was made up of $3.5bn in Department of Energy spending, half of which went on renewables, and $20.5bn on “tax preferences” or tax credits…”
Paul Ryan, who doesn’t seem to care if little kids starve, families end up on the street, and the elderly do without meals on wheels, is still fighting to save subsidies for his wealthy donors. This is an old piece, dating back the LOSING Mitt Romney campaign. But, it says everything we need to know.
Right now, we, the little people of the United States of America are paying something like $20 billion a year to subsidize the oil industry.
“…The United States has a massive budget—about $3.5 trillion per year. Of this $3.5 trillion, a portion of perhaps a few percent could be considered to be used on energy—most of which goes to non-renewable energy. Because of the highly nuanced nature of analyzing subsidies, different estimates of how much the government spends on energy programs vary greatly. Yet the estimates almost unanimously agree on one thing: subsidies for fossil fuels and nuclear outweigh subsidies to renewables by significant margins, despite being old, mature industries that have been on government aid for decades longer than renewables and despite some of them being literally the most profitable companies on earth!…”
“...Nonpartisan Joint Committee on Taxation noted “industry specific incentives” for oil and gas. In a May 11, 2011 report, the nonpartisan Joint Committee on Taxation noted that oil companies benefit from a number of “industry specific incentives.” The report stated: “The Internal Revenue Code includes a number of tax provisions that provide favorable treatment to investment in oil and gas production projects. These incentives include the enhanced oil recovery credit, the marginal wells credit, the expensing of intangible drilling costs, the deduction for using tertiary injectants, the passive loss exemption for working interests in oil and gas properties, percentage depletion … In addition to these industry specific incentives, there are several provisions of general application that are particularly important to the oil and gas sector. These include the rules for dual capacity taxpayers and the last-in first-out method of accounting.” [Joint Committee on Taxation, “Description Of Present Law And Select Proposals Relating To The Oil And Gas Industry,” 5/11/11].
Perhaps the most telling part of the story is something that would have been very unimportant until a few days ago. The Pink Flamingo is not making any comments or coming to any conclusions. Just read the paragraph and let your imagination do the rest.
“…But in the recent years, Congress has failed to trim, let alone eliminate, the oil business’ many perks. The closest Congress came to gutting these sweetheart deals were two votes this March on a measure offered by Sen. Bob Menendez (D-N.J.). Menendez’s Repeal Big Oil Tax Subsidies Act proposed cutting away a small slice of the big oil “gravy train”—namely, $2.4 billion a year in tax deductions enjoyed by the big-five oil companies. The vote was 51 to 47, nine votes short of the 60 needed for passage….”
Yea, I thought the same thing. Want something even more interesting? House Energy and Commerce Committee Chair Fred Upton (R-MI) received big donor bucks including $10K from Koch Industries, to protect gas and oil. Recently, 70 Democrats wrote to John Boehner asking him to eliminate subsidies to Big Oil. Instead, he has cut money from Meals on Wheels.
The far right doesn’t want these loopholes closed. They say it will cost the US taxpayer more, but that is proven to be false. It will cost the Koch Brothers more. They are all important to the GOP. It’s okay to cut Meals on Wheels, and subsidies that would help those in need. But, we simply must not upset the billionaire oil men of the GOP. After all, they own the GOP.