When gas prices get higher, politicians always seek a scapegoat in blaming the big oil companies rather than themselves. If they didn't spend so much, the Federal reserve would not have to print so much money. Printing more makes the dollars that you have worth less and so it takes more of them to buy a gallon of gas. Now many people buy into "let's punish the big oil companies"? Just who are these evil monsters? It is individuals (stockholders) that own the company. Now as a stock holder I feel that I am punished enough. First, these companies pay 35% corporate tax on the profits that would go to shareholders and the then the remaining profits are distributed to stockholders as a dividend which is then taxed at 20%. So it amounts to this: the stockholders get 45% of the profits (after exploration and production costs) and the government gets 55%. I risk my savings and the government risks nothing. And yes, if you have a pension, you are probably an oil company stockholder too.
Now this small tax deduction is the same as GE and others get.
He can kiss my derriere!
