The U.S. Senate voted Wednesday Feb. 2 against a proposal that would have ended Oil industry tax breaks that amount to $22 billion over 10 years. The vote was 81-17 to retain such tax breaks. The vote has once again revealed how the Oil and Gas industry has been able to manipulate our elected officials because of their wealth in doling out campaign contributions.
President Obama in his state of the union address asked congress to end those tax breaks for that wealthy industry. Since congress answer was no, the President should now take his case directly to the people, shame congress and the industry and use his authority as the only nation wide elected official to do what it takes to relieve that $22 billion burden that the average American pays for.
According to a report in the Times Picayune dated Feb. 4, U.S. Senator David Vitter and U.S. Rep. Steve Scalise really showed their ass over the subject matter. Vitter said the industry needs the tax breaks because the U.S. has the highest business tax rate in the world. Scalise made the dumb remark about high oil prices because of the instability in Egypt and not restricting domestic production. Vitter and Scalise are ditto heads for the industry because of their campaign contributions.
The fact of the matter is big business like oil and gas pay no taxes. There are tax loop holes in the tax code created by members of congress like Vitter and Scalise that cancel out any tax liability. Any small tax they may end up paying is passed onto the consumer. Yet Vitter and Scalise want to continue the tax breaks for their chosen few. They like to see the middle class make up for the loss of revenue. As for Scalise's stupid remark he knows full well the only thing that restricts production is when the industry itself shuts in production to manipulate the price.
The oil and gas industry has had 50 plus years of tax breaks and exemptions and our country at this very time is more dependent on foreign oil than ever before. They could care less, their main goal in wanting those tax breaks is to increase their bottom line so more wealth can be passed onto their CEO's and executives. They have had plenty time to make the country self sufficient. They are not satisfied that the price of a barrel of oil and gallon of gasoline had been at a sustained record high level for over 7 years. That's not good enough for them, they want it all.
President Kennedy said it best and set the example when he said,"Ask not what your country can do for you, ask what you can do for your country." The oil and gas industry, Vitter, Scalise and all those who continue to vote for tax breaks for wealthy corporations gladly put themselves before their country. Its pretty sad when elected officials sell out the people they represent and even more sad when Corporate America spend a fortune on those officials to influence their decisions.
U.S. Senators Markey and Levin who voted in favor to cancel the tax breaks said it best. Said Senator Levin: We would reform unjustified tax expenditures related to oil and gas production by large oil companies, companies that are enormously profitable with or without these tax expenditures. Said Senator Markey: American consumers and small businesses are all told that they will have to tighten their belts, and do their share to bring down our deficit and grow our economy. Yet even when their top five companies make nearly $1 trillion in profits over the last 10 years, they still defend with a straight face the billions in tax breaks and regulatory subsidies they stand to rake in over the next decade.
The congress need more members like Levin and Markey who are not afraid to deal with the truth and that really says it all.
