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Energy Tomorrow Blog

Intangible Costs, Real Benefits

energy investment  cost recovery  intangible drilling costs  tax policy  oil and natural gas development 

Mark Green

Mark Green
Posted September 18, 2014

Since its inception the U.S. tax code has allowed taxpayers to recover business costs and be taxed only on net income – the idea being that quick recovery of costs would help spur reinvestment and support business expansion. This, in turn, boosts the economy and serves the national interest.

It is working in energy. Because of the cost of drilling wells and the need to invest in a depleting asset, cost recovery and reinvestment is an important part of the reason America has an energy revolution today. Mechanisms like the one for intangible drilling costs (IDC) help support the entrepreneurial risk-taking and investment that keep the revolution going.

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The Truth on Oil and Natural Gas 'Subsidies'

taxes  tax policy  cost recovery  intangible drilling costs  section 199  foreign tax credit  lifo 

Stephen Comstock

Stephen Comstock
Posted January 29, 2014

Contrary to what some in politics, the media and most recently, the president during the State of the Union, have said, the oil and natural gas industry currently receives not one taxpayer “subsidy,” “loophole” or deduction. Since its inception, the U.S. tax code has allowed corporate taxpayers the ability to recover costs. These cost-recovery mechanisms, also known in policy circles as “tax expenditures,” should in no way be confused with “subsidies” – direct government spending or “tax loopholes.”

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Energy, Infrastructure and U.S. Strength at Home and in the World

Energy Security  american energy  infrastructure  keystone xl  hydraulic fracturing  tax policy  budget  ethanol  exports 

Mary Leshper

Mary Schaper
Posted December 13, 2013

Bloomberg Poll: 56 Percent Say Keystone XL Would Help U.S. Energy Security

Bloomberg Businessweek: More Americans view the Keystone XL oil pipeline as a benefit to U.S. energy security than as an environmental risk, even as they say Canada should do more to reduce greenhouse gases in exchange for approval of the project.

A Bloomberg National Poll shows support for the $5.4 billion link between Alberta’s oil sands and U.S. Gulf Coast refineries remains strong, with 56 percent of respondents viewing it as a chance to reduce dependence on oil imports from less reliable trading partners. That compares with the 35 percent who say they see it more as a potential source of damaging oil spills and harmful greenhouse gas emissions.

Read more: http://buswk.co/1gwdBJq

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Let's Have Fairness, Facts in Tax Reform Discussion

taxes  tax policy  tax increases  lifo 

Mark Green

Mark Green
Posted August 28, 2013

The effort to overhaul the U.S. tax code certainly is a heavy lift. The code is enormous, enormously complex and has wide reach across America. The reform discussion should be thoughtful, fact-based and fair. Too often those are missing from the dialogue.

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Blogger Conference Call - ExxonMobil Earnings and Taxes

domestic energy  earnings  energy policy  energy taxes  exxonmobil  industry earnings  oil and natural gas industry  section 199  tax policy  taxes 

Jane Van Ryan

Jane Van Ryan
Posted May 10, 2011

API co-hosted a blogger conference call with ExxonMobil yesterday to discuss the company's first quarter earnings and energy tax policies. Ken Cohen, ExxonMobil's vice president of public and government affairs, and Jaime Spellings, ExxonMobil's general tax counsel, broke down the company's profits and spoke to misperceptions about the current tax code

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Congress Should Focus on American Job Creation and Energy Development

domestic oil access  domestic oil production  energy policy  energy taxes  natural gas production  tax policy 

Rayola Dougher

Rayola Dougher
Posted May 6, 2011

API Executive Vice President Marty Durbin had this to say in support of the House Natural Resources Committee's efforts to focus on the need to produce more of America's oil and natural gas resources, which would create more jobs for our workers and more revenue for our government:

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Incentive + Disincentive = Bad Policy

domestic access  energy policy  energy taxes  natural gas  tax policy  oil and natural gas extraction 

John Felmy
Posted May 5, 2011

The National Journal reports this morning that Senate Republicans and House Democrats "both released comprehensive plans for job creation this week," managing to agree on quite a bit including "incentivizing deployment of natural gas, the fuel attracting the most support from both parties as an alternative to oil."

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