Posted on 04/25/2011 3:46:37 PM PDT by Qbert
LLS
“I fail to see the problem with cutting subsidies. There’s no reason taxpayers should be paying oil companies to drill.”
The depletion allowance used in all extractive mining industries is not simply a subsidy.
It is more like depreciation.
Taxpayers don’t “pay” oil companies to drill. They let them “write off” tangible and intangible costs of drilling unsuccessful wells in the year incurred, and capitalize the same costs when successful.
WE didn’t get to vote him in as Speaker...the House did...and we are so screwed.
SELL OUT
Boehner is a joke. Wtf is he doing?
Keeping going into 2012 defending oil companies, see how it works out.
Yet another reason to throw out Speaker Bonehead.
This guy ain’t smart.
There of course should be no subsidies to any corporation, but there is nothing wrong with giving a tax break if it is directly related to investment in the US. A billion dollars invested in oil exploration/drilling will eventually result in extra revenues that will be taxed at the normal corporate rate, but in the interim the investment will generate good paying jobs and as a result more income tax revenue. Perhaps Boehner could work on killing the subsidies for drilling in countries like Brazil, before he attacks tax advantages for drilling and exploration in the US. The man is not up to the task.
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