The disparity between increasing gas pump costs, increasing profits for the oil companies, and the enormous contradicting tax breaks offered for oil businesses has been cause discontent among lawmakers, tax and financial experts, and the general public at large. Get more info about oil business via http://alcusfuel.com/.
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The argument is that tax breaks should translate in lower pump prices rather than translate to higher profits as is the case now. This oil company debate appears to be at the peak of the Congress's agenda in the recent years.
Top Oils Business Executives Summoned
Business executives in the top 5 oil companies, namely Exxon Mobil, BP, Shell, Chevron, and Conoco Phillips, were invited earlier in May 2011 to Congress' Senate Finance Committee to attempt to work out a solution to the rising pump prices and the tax breaks that seem to only benefit the oil companies.
These reform proposals suggested decreasing total corporate taxes and have the funds paid by removing various tax credits to the corporations.
Critics Respond to Executives Defense
But most critics and opponents of the controversial tax credits for oil companies have dismissed the arguments posed by the oil company executives as only an effort to keep the goodies provided by Uncle Sam through hefty tax breaks.
Congress with the Final Say
Many bills have been proposed in Congress to attempt to deal with the seemingly unfair benefits that oil businesses like through tax breaks. The latest is the S. 940 statement proposed by Senator Charles Schumer that attempts to have decreased tax breaks for oil companies, a move that will result in $21 billion in additional taxes raised in the subsequent 10 years.