So uh...when did it become illegal to make money?

[twichie.livejournal.com]

I understand the current gas prices are out of control - but how about REPEALING some of the taxes on fuel/gasoline instead of saying "You've made too much money"?

Oil prices are globablly higher - not just US companies...





http://www.foxnews.com/story/0,2933,364846,00.html

WASHINGTON — With gasoline prices topping $4 a gallon, Senate Democrats want the government to grab some of the billions of dollars in profits being taken in by the major oil companies.

Senators were to vote Tuesday on whether to consider a windfall profits tax against the five largest U.S. oil companies and rescind $17 billion in tax breaks the companies expect to enjoy over the next decade.

"The oil companies need to know that there is a limit on how much profit they can take in this economy," said Sen. Richard Durbin of Illinois, the Senate's No. 2 Democrat, warning that if energy prices are not reined in "we're going to find ourselves in a deep recession."

But the Democrats are going to have to overcome staunch Republican opposition to any new taxes on the oil industry. The five largest U.S. oil companies earned $36 billion during the first three months of the year.

Majority Leader Harry Reid, D-Nev., will need 60 votes Tuesday to proceed with the oil tax legislation in the face of a threatened GOP filibuster. If he doesn't get 60, he likely will pull the bill from the floor.

Only last week, Reid was forced to withdraw a measure aimed at addressing global warming, falling short of the 60 votes needed to advance that legislation.

The Democrats' energy package also would:

— Make oil and gas price gouging a federal crime, with stiff penalties of up to $5 million during a presidentially declared energy emergency.

— Authorize the Justice Department to bring charges of price fixing against countries that belong to the OPEC oil cartel.

— Require traders to put up more collateral in the energy futures markets to curb speculation.

Republican leader Mitch McConnell of Kentucky has acknowledged that Americans are hurting from the high energy costs but strongly opposes the Democrats' response and has ridiculed those who "think we can tax our way out of this problem."

Oil executives, testifying before Congress last month, called the proposed taxes "punitive" and warned that they would discourage domestic oil and gas exploration and production, possibly causing prices to rise instead of fall.

The American Petroleum Institute, which represents the major oil companies, has been reminding lawmakers that in the early 1980s, when the government imposed windfall profits taxes on oil companies domestic oil production dropped and imports increased.

But Democrats reject the comparison.

The Senate proposal would impose a 25 percent tax on profits over what would be determined "reasonable" and would allow oil companies to avoid paying the tax if they invest the money in alternative energy projects or refinery expansion.

The tax breaks that would be rescinded, given by Congress over the past five years, are expected to save the five largest oil companies about $17 billion over the next 10 years. The Democratic proposal would funnel the money into tax incentives for renewable energy sources such as wind and solar, and to promote energy efficiency and conservation.

Most Senate Republicans have a different approach to dealing with the growing energy crisis — pump more oil and gas.

The GOP energy plan, rejected by the Senate last month, calls for opening a coastal strip of the Arctic National Wildlife Refuge in Alaska to oil development and to allow states to opt out of the national moratorium that has been in effect for a quarter century against oil and gas drilling in more than 80 percent of the country's coastal waters.

"Republicans by and large believe that the solution to this problem, in part, is to increase domestic production," said McConnell.

Comments

[ex-annemarie10.livejournal.com]

It seems to me the Democrats only solution to any problem is to raise taxes on somebody.

What we really need is for everyone who is upset about gas prices and who lives in a state or congressional district to start calling their Senators and congressmen and demand they vote to open ANWR to drilling and allow drilling offshore elsewhere. Congress will respond is enough people contact them and show just how mad they are.

[twichie.livejournal.com]

Love your icon. That rocks. :)

And I totally agree! I couldn't believe this story. Incredible that these people THINK this.

[ex-annemarie10.livejournal.com]

I like this icon even better.

[twichie.livejournal.com]

LOL! That's a good one too! :)

[some-day-soling.livejournal.com]

Yeah, between that and the whole "This liberal is going to sociali.....uh, uh, uh, take over your gas companies" I had to reread Atlas Shrugged.

I haven't decided whether to send a letter or call. I don't think they'd actually read the letter but "Could you guys be bigger idiots?" looks good in print to me.

[twichie.livejournal.com]

Yeah - and print is something that will clutter up mailboxes.

Like the way your brain works! LOL!

[some-day-soling.livejournal.com]

Thank you! :)

[some-day-soling.livejournal.com]

Oh, hey. Do you mind if I friend you?

[twichie.livejournal.com]

Not at all. I'd love it. :) I started a friending meme here today too - just to get my flist more balanced before the election! LOL!

:) Friending you back!

[twichie.livejournal.com]

There was just a report released that said Montana/North Dakota have huge oil resources. I'll have to see if I can find that report.

[sabbrielle.livejournal.com]

What's shocking to me is that Democrats don't realize that oil companies aren't going to take the new taxes lying down. It's not like they'll say, "Oh, you're right, we're sorry. We are making too much money," and then empty their pockets out. They'll just pass all new costs along to the consumers.

Oh, and this determining "reasonable" business. Whose job will that be? I know many liberals consider any profit at all to be immoral.

Ah, the sweet stench of socialism.

[twichie.livejournal.com]

That's my question...do reason and logic mean nothing? I KNOW they're liberals but what do they THINK is going to happen with the cost?

My biggest peeve - REASONABLE PROFIT! I know profiteering/price gouging. I UNDERSTAND that - but in this case, the GOVERNMENT should be looking at THEIR price gouging! Taxes are higher than what the companies are bringing in per each tank of gas...right?

*grumble*

[aricadavidson.livejournal.com]

Interestingly, per gallon, more money goes to the government already than the "big bad" oil companies... so yeah, they need to be repealing gas taxes. And start new drilling. Just starting the drilling will cause the prices to go down some.

[twichie.livejournal.com]

This doesn't surprise me at all. Between state, local and federal taxes - it has to have such a significant impact that if people had a real clue, there'd be protests left and right.

Love it if the media would pick up THAT story...

And congrats on Baby! Wish you the best there! :)

[mockingbird39.livejournal.com]

This whole wealthy = evil mindset is so pervasive that we're just expected to take it for granted now. I work in fundraising for a pediatric hospital, so basically my job is to ask rich people for money. We throw parties to get lots of rich people in a room together, and generally windfalls result. I like my job and, more importantly, I know where my bread is buttered. So a few weeks ago we did a major event at the brand new, 27,000 sq. ft. home of one our board members. He and his wife built the home specifically to host events like this one and it worked - we raised a couple million on the spot. Several hundred thousand of that came from our host, who is unfailingly generous to us and to a number of other charities.

However. When this board member gave us a tour of his fantastic home, one of my coworkers (who has worked in non-profits her whole career) turned to me and was like, "Can you believe how much money he has? If people like him would just get off their asses, they could fix our economy!" Yes, clearly he is a selfish bastard and those millions of dollars we spend each year on free medical care for poor children just *appears* in our coffers.

[twichie.livejournal.com]

I have a weird theory about this one. (Bear with me on it.) As children of the 80's there was this pervasive thought process that wealth was bad. Think about Pretty in Pink and The Outsiders - all the bad guys were well off/rich people. So now we're living as grown ups and SEE the world that way.

Makes no sense why people require that of others and on many levels, not themselves. If your co-worker worked really hard and made lots of $$ - bet you even money he/she would want to KEEP it.

*shakes head*

[coldblossom.livejournal.com]

I've been hearing about this for awhile and it makes me sick. The Democrats are the new Do-Nothing Congress, and neither the media nor the people are holding them accountable. We empower them, not vice-versa, and I think we've forgotten and they've forgotten. We briefly flexed our muscles when we nuked the shamnesty immigration bill, and we need to do that more often. I have been emailing my reps (including Sen McCain) daily over this.

I would think any American who knows anything about how for-profit companies work would realize that the windfall tax will only affect the consumer and will do absolutely nothing but discourage businesses from operating here. In fact, should this tax come to pass, I envision companies vacating the United States entirely and moving overseas, resulting in an employment and economic disaster. Who will the Democrats blame, then? More importantly, what will happen to everyday Americans who would lose their jobs over it?

Lastly, this is exactly what Obama means when he says that we shouldn't be able to set our thermostats at the temperature we want or drive the cars we want, etc. He'll tax us and pass laws to control our private behaviors and people will bow and kiss his feet for he is the Messiah and ambrosia spilleth from his lips. This has got to stop.

Edit:
And do you know what's really ironic about all of this? While our Congress twiddles its thumbs and attacks the oil companies, China and Cuba set up oil platforms 50 miles off the Florida coastline and angle-drill into our shelf and our reserves. And then, once they've got our oil, they'll sell it back to us, laughing all the way to the bank.

[twichie.livejournal.com]

I like the way your mind works! Intelligence - it's underrated in this society!

Seriously - agree on all of the above! This is absolutely crazy and Obama will bring prices up much higher than they are now - on EVERYTHING!

[tappanga.livejournal.com]

Dear Democrats,

The oil companies will pass the tax along to the consumer. In reference, see basic Economics 101.

Thanks for being morons,

A voter.

"Republicans by and large believe that the solution to this problem, in part, is to increase domestic production," said McConnell.

Agreed. Basic supply and demand. My father and I talked about this a few days ago. I said we needed to release the reserves. His argument was that we don't have enough reserves. I told him I didn't care. When OPEC sees we won't be buying as much because we're cutting in our reserves, they'll lower prices because the demand will fall.

[twichie.livejournal.com]

Ditto. Completely.