- Energy Tax Facts
- 4 Nov 13
Poll: Voters Oppose Increasing Taxes on Energy Production
Matt Kellogg, IPAA’s Manager of Government Relations
A new poll by Harris Interactive, conducted as a part of the American Petroleum Institute’s (API) “What America is Thinking on Energy Issues” series, finds a majority of American voters oppose changes to the tax code that would hinder energy production in the United States.
According to the survey:
- 81 percent of voters believe Washington should solve America’s budget questions without raising energy taxes,
- 69 percent agree increasing these taxes “hurts everyone because those tax increases could drive up energy costs for consumers,” and
- 56 percent of respondents agree “increasing energy taxes, like taxes on oil and natural gas companies, could negatively impact the country’s job market and hurt the economy.”
American voters understand that changes to the tax code should not come at the expense of U.S. energy production – an industry that is supporting the American economy and providing millions of jobs. Unfortunately, some efforts to update the tax code have been tied to repealing certain historical tax provisions that support continued energy development such as the Intangible Drilling Costs (IDCs) deduction. As a study released by Wood Mackenzie found that repealing the IDCs deduction would have a drastic impact on the American economy, including 190,000 jobs lost within the next year and 233,000 by 2019. The study also found repealing the IDC deduction would force U.S. producers to cut back their production by 15 to 20 percent annually, reducing industry spending by $407 billion between 2014 and 2023.
American voters understand the importance of supporting continued development of our vast energy resources – development that is creating jobs and providing revenues from the statehouse to the federal treasury. As Washington looks to reform the tax code and manage the budget, the real costs of changing the historic tax structure supporting American energy cannot be overlooked.