Obama and the foolishness of windfall taxes
He wants to raise capital gains taxes, not to raise revenues, but to be fair. Now he wants to go down the path of redistribution by imposing windfall taxes on evil oil companies. I wonder if his latest desire for fairness would cost the average American at the pump?
Democratic presidential candidate Barack Obama‘s proposal for a windfall profits tax on oil companies could cost $15 billion a year at last year’s profit levels, a campaign adviser said. The plan would target profit from the biggest oil companies by taxing each barrel of oil costing more than $80, according to a fact sheet on the proposal. The tax would help pay for a $1,000 tax cut for working families, an expansion of the earned- income tax credit and assistance for people who can’t afford their energy bills.
“The profits right now are so remarkable that one could trim them 10 percent or so, which would turn out to be somewhere in the $15 billion range,” said Jason Grumet, an adviser to the Obama campaign.
Obama’s plan may be three times larger than the $50 billion, 10-year plan contemplated by his Democratic rival, New York Senator Hillary Clinton. Republican candidate John McCain, an Arizona senator, has no plan to raise oil and gas industry taxes, said his economic adviser, Douglas Holtz-Eakin.
Liberals are the only folks still thinking Marxism works.