Isn’t that just going to force the gas companies to raise the gas prices?
I’m not saying this to insult you, but too many people on here think that the office of President of the United States is way more powerful than it actually is. He (the President) cannot tax anyone, it’s up to the legislators to pass laws regarding taxes. He can suggest legislation, but the Senate and House of Representatives are who tax people. But to answer the second part of the question, gas companies won’t pay any more taxes that are levied against them, the consumer will end up paying those taxes, along with the other taxes we already pay for gasoline.
It makes no sense. One thing that has come from high oil costs is that technology is now being developed to search, mine, and make more efficient carbon fuels. With the huge profits, the companies are able to reinvest (most are, except for EXXON, which I can’t figure out what they are doing). Reinvesting in new energy will bring down our dependency in the end. So lets do what Obama wants, cut their profit so they can not explore or develop, so they collapse under the weight of the demand placed on them by American consumers, which will drive costs up higher, and cripple America past a huge breaking point. Why tax them, how about cut their subsidies, or direct subsidies for the companies to their Research and Development Programs. They have control of a great market, as a capitalist nation, we need to recognize that that is the goal. In the end the system will work, they will have to find new ways to make money, but no Obama will come in a cut their way of making money now, so Big Business has no way of making money in the future. Therefore no oil, no jobs, no transportation, no development, no economy, and we answer to Russia, China, India, Iran, Brazil, and South Africa.
By the way, I left Britain out, because those fools will follow Obama’s lead as a new way of thought, then will come Germany, and France will never figure anything out themselves. And then in the end America and Europe are 2nd and 3rd world economies. A little Dooms-dayish, but hey think about it.
No, it wouldn’t, and don’t be fooled by those who claimed that Carter tried this, because he didn’t.
Obama is talking about a tax on PROFITS, not oil itself. If they try to recoup that down the line, then it shows up as additional profit, and is subject to that tax.
Carter, while it was called the ":windfall profits tax,": was not a tax on profit, but was a levy on each barrel of oil produced. It was a tax on the source or commodity, which means that it’s easy for an entity to pass that along.
Not so with a tax on profits, though to be a true barrier to gouging, the tax should be higher than an additional 25%.
I think Oil Companies will pass the tax to the consumers…it’s all about the buck. It is time to look of alternative fuels. Green or no green the high costs of oil is getting crazy and we need to find something else. But I don’t bank on it happening anytime soon, it is a nice thing to aim for though.
funny that he said he was going to tax oil companies not gas companies. You dont even state the idea correctly and the nuts are patting you on the back acting like you are informed.
BTW plenty of people in America are avoiding making more money and jumping up into the next tax bracket, why wouldn’t oil comapnies do the same?
You realize oil companys’ record profits have come at the expense of refiners whose profits have gone down right?
You know the refiners……the companies that make gas?!
But in reality taxing the oil companies will probably have little benefit for the consumer even though the oil cmpanies will not be able to pas it on. The rela problem is the value of the dolar which has fallen since 2001.
The reality of the matter, the tax is suppose to convince the futures market that oil speculation isn’t as good of an idea. Which the same thign can be done by boosting the value of the dollar.
he favors a windfall profits tax which will be used to finance research for alternative fuel, this will not make gas prices go up, they can’t just raise gas prices because their profits are being taxed, oil is a controlled commodity the only thing that makes oil more expensive is the increase in demand and lessening of supply.
YOU are exactly right fella! Where the heck do people think companies get their money they use to pay their taxes? Are you people really that stoopid! When the government raises a companies taxes, they increase the prices of whatever product they’re selling and in reality, YOU AND I pay those taxes for the company. Get off oil companiy’s backs! Did you people know that every cosmetics company makes bigger profit margins that oil companies! Let’s go after Estee’ Lauder and Avon! Get your representitives in Washington and your state capital to lower the taxes on gas and then prices would REALLY drop! And almost all of those taxes have been imposed by Democrats!
Taxing the oil companies won’t fix anything. The subsidies do need to be ended though. And the futures market needs to be regulated like the natural gas and electric companies.
He and McCain( till this week) wants this… to tax WINDFALL PROFITS. That means after all the taxes and bills are paid, the oil companies are making HISTORIC PROFITS.
If you or I made such a profit, we’d be taxed too. Why not the oil companies?
Yes it will, the only way to lower prices is to increase the supply of domestically produced oil. Of course even if we did that we don’t have enough refineries to meet the demand.