To the Editor:
With tax reform back on the front burner in Washington, I am encouraged that we can finally go forward in a bipartisan way toward a federal tax code that is simpler, fairer and more growth-oriented. This is a pressing need for our nation.
We won’t achieve these goals, however, by singling out the domestic energy industry for punitive tax increases. The oil and gas industry has been in the cross-hairs of Congress for years. Several budget proposals that have been offered would be destructive to our long term energy security and put the brakes on new investment and development just as a bona fide “revolution” in shale oil and gas is getting underway.
I find it concerning that some members of Congress demand that U.S. energy firms “pay their fair share” when these very same firms, as an industry, are now paying an effective tax rate of 37 percent, significantly higher than the S&P 500 average of 29 percent.
Making environmentally responsible decisions about oil and natural gas production and usage is an important part of energy-tax program and energy companies have successfully lessened their environmental impact by producing cleaner fuels and taking steps to improve their own energy consumption. But these efforts, as laudable as they are, need the support of a tax reform program and an energy policy from Washington that incentivizes growth. We simply cannot afford policies that put the brakes on business expansion and job creation at this time.
I urge Congress to redouble their efforts to craft a tax reform package that levels the playing field for all, so all may prosper.
Corey Carter
