September 10, 2012
Big oil companies already benefit from generous tax cuts, so why does Mitt Romney’s plan stand to give them even more benefits? After taking into account all of the tax breaks for the top five oil companies, Romney’s plan would potentially benefit them by $4 billion a year.
Here’s why these companies do NOT need more tax cuts, and why Romney’s energy plan is not good for America:
- According to the Center for American Progress Action Fund, Big Oil earned a combined $137 billion in 2011, or $261,000 per minute.
- Big Oil advocates claim that they need the existing tax breaks to create jobs and increase oil production. But even with these tax breaks, some of these companies have produced less oil and laid off thousands of workers over the past six years. In fact, an analysis by the House Natural Resources Committee Democrats found that “ExxonMobil, Shell, and BP combined to reduce their U.S. workforces by 17,500 jobs between 2005 and 2010.”
- Big Oil and gas companies, their lobbying arm the American Petroleum Institute, and various oil-funded nonprofits have already spent more than $20 million on paid advertising to oppose President Obama’s proposal to eliminate the Big Oil tax breaks, and generate public support for oil drilling off protected coasts and other oil issues too.
- His plan, following the lead of the Ryan budget, would force huge cuts to critical programs including Social Security, Medicare, and Medicaid. Gov. Romney is apparently willing to increase the deficit to continue tax breaks for Big Oil companies and cut their taxes even further.
|credit: Center for American Progress Action Fund
The continuation of tax subsidies for Big Oil reflects the industry’s longstanding political influence.
America needs to pay close attention to the specific plans Romney has in mind for our country if he were to win the 2012 election. The facts show that President Obama’s actions while in office, as well as his plans for the future, are what’s best for young Americans, working families, and the middle class.