AJC, "There are no oil subsidies just normal tax deductions"

[jimbogxp]

I have read from people here that oil compaines receive subsidies to produce oil, like a farmer is paid subsidies not to farm his land.

It turns out oil companies don't get subsidies, just routine tax breaks any US business gets. Apple, Starbucks, Walmart, any business.

I read it here in this news article from the Atlanta Journal Constitution, which is not an editorial. This is a news article from Atlanta's largest newspaper.

http://www.ajc.com/news/refiners-are...d-1434222.html


It says:

"President Obama incorrectly claims that American companies in the oil and natural gas sector receive billions of dollars in taxpayer “subsidies.” In fact, these companies pay more than $31 billion a year in federal taxes and simply get the same type of tax deductions as other American manufacturers."

We have been lied to. Oil companies don't get subsidies to produce oil, like companies get who produce ethanol, solar power or wind power.

Live and learn.

[Doedrums]

I predict this will end well.

[Egz]

http://www.ajc.com/news/refiners-are...d-1434222.html

"Charles T. Drevna is president of the American Fuel & Petrochemical Manufacturers. "

[2.0T_Convert]

I have a feeling Obama knows this but chooses to phrase his words to use easy to understand language for the masses. People have enough trouble understanding tax credits for hybrids and EVs after all.

[mariok2006]

[jimbogxp]

So much for "not an editorial". It is. And from some guy in the industry.

That said, is he lying about no subsidies. Does oil get subsidies or just normal tax breaks like the guy said.

If he is lying, then what "subsidies" do oil companies get. I mean, solar and wind power companies get reimbursed tax payer dollars above and beyond any tax deductions on profits. In fact, wind power companies don't make profits to pay taxes on let alone deduct from, and I'm not sure solar power companies do either.

Still, can anybody list a single oil company subsidy, assuming the guy is lying? Or is he just telling the truth.

[CBJ]

So much for "not an editorial". It is. And from some guy in the industry.

That said, is he lying about no subsidies. Does oil get subsidies or just normal tax breaks like the guy said.

If he is lying, then what "subsidies" do oil companies get. I mean, solar and wind power companies get reimbursed tax payer dollars above and beyond any tax deductions on profits. In fact, wind power companies don't make profits to pay taxes on let alone deduct from, and I'm not sure solar power companies do either.

Still, can anybody list a single oil company subsidy, assuming the guy is lying? Or is he just telling the truth.

There is this thing called...what's it again...oh yeah, Google.

"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 are still in place.

[David@vwvortex]

Or.. you can try reposting this in the off topic forum b/c this isn't going to work in TCL...