• Home
  • News
    • Politics & Government
    • Business & Economy
    • Crime / Courts
    • Health / Medicine
  • Sports
    • High School Sports
    • Radio Iowa Poll
  • Affiliates
    • Affiliate Support Page
  • Contact Us
    • Reporters

Radio Iowa

Iowa's Radio News Network

You are here: Home / Politics / Govt / Grassley not in favor of windfall profit tax on oil companies

Grassley not in favor of windfall profit tax on oil companies

June 10, 2008 By admin

As regular gasoline is averaging over $4 a gallon nationwide for the first time, Congress is considering a new tax on oil companies. Iowa Senator Chuck Grassley says he’ll oppose the proposal going before the Senate today which would levy a "windfall" profits tax on the five largest U.S. oil companies.

"We tried a windfall profits tax, 1978, ’79, ’80 I believe it was. Made the situation worse," Grassley says. The proposal is being suggested by Democrats. Grassley, a Republican, says it’s a bad idea. In addition to the new tax, the legislation would eliminate some 17-billion dollars in tax breaks oil companies were expecting over the next ten years.

Reports say the nation’s five biggest oil companies raked in 36-billion dollars in profits during the first three months of this year. The legislation would impose a 25% tax on profits over what would be determined as "reasonable." Grassley says if those who are proposing the windfall profits tax would look to their recent history, they’d see better solutions based on the experiences of 30 years ago.

Grassley says: "The thing that finally got the price of oil down when it was probably as high, considering inflation, as it is right now, was deregulating oil, reducing the taxes and allowing drilling in more places." Grassley says environmentalists "have a hold" on the Democratic Party, which is why we aren’t drilling for the 13-billion barrels of oil which the experts say lies beneath one section of Alaska.

"I would suggest to the Democrats that when you tax something, you get less of it. When you don’t tax so much, you get more of it," Grassley says. "If they are really concerned about the price of oil, then we need to be drilling every place in America where we know there’s oil."

Triple-A says the nationwide average for a gallon of regular gas is $4.04, while it’s averaging $3.91 a gallon in Iowa — a record high for the state. 

Share this:

  • Facebook
  • Twitter

Filed Under: Politics / Govt Tagged With: Chuck Grassley, Republican Party, Travel

Featured Stories

Testing finds 21 new CWD cases in deer

It may become a crime in Iowa to use fake urine in workplace drug tests

February trending 18 degrees below average temperature

Iowa House Education Committee votes to end tenure at UI, ISU, UNI

Man convicted of two Muscatine County murders dies in prison

TwitterFacebook
Tweets by RadioIowa

Key stretch begins for #9 Iowa

Drake’s Roman Penn lost for the season

Drake’s DeVries named to Naismith watch list

State wrestling opens with limited attendance

Iowa’s Wieskamp is B1G Player of the Week

More Sports

eNews and Updates

Enter your email address:

Delivered by FeedBurner

Archives

Copyright © 2021 ยท Learfield News & Ag, LLC