OT - Oil Windfall Taxes | Arthritis Information

It seems quaint to think of it now, but it was only three years ago that lawmakers in Washington were debating whether to impose a windfall profits tax on the oil industry for all oil sold above a barrel.

As of Friday, oil was trading near 6 a barrel, gas was averaging .60 a gallon nationwide and .89 in California, and oil companies were making even bigger gobs of profit.

And its' worse now as this was from May 4th.

http://www.latimes.com/business/la-fi-lazarus4-2008may04,1,1767341,full.column

Pip

Penalizing companies when they make a profit won't do much to encourage business. When business' start throwing in the towel because they are villified for being successful, who will the government steal from then? I don't want a Robinhood government. Do you know how much money oil companies make per gallon? It's not that much. Mobil is getting out of the retail gasoline business because it's marginal as far as progits go.

No, but it looks like they're making it PRIOR to it getting to the pump in specualtion. Just like Enron and the rolling blackouts.

Linda, what do you think those billions in posted profit means? That somehow those numbers are wrong and they really made less money?

Pip

Edited for wrong homonym!

Pip!2008-07-10 08:38:07Pip-

Complicated situation. Economists disagree.

Jan

As we know, Big Oil has enjoyed record profits for more than a year now. Indeed, this year's first quarter earnings for big oil companies was one of the biggest ever. But Big Oil get its cash inflow from more than just profits on its product. Not only do we pay at the pump to help bolster Big Oil profits, but we also pay as taxpayers. Here is what Senator Claire McCaskill, D-Mo., has to say about part of the reason Big Oil is so profitable:
ast year Congress forked over billion of our tax dollars to the big oil companies in tax breaks and subsidies. That doesn't make sense. The people who need the relief are consumers, not the big oil companies. For the whole story:

http://thepanelist.com/Hot_Topics/Alternative_Energy/Big_Oil_Reaps_Financial_Rewards_-_From_the_Government_20070531352/

I say we (the people) cut big oil off of tax money and let them use their own money for research and development. Seems to me we are all paying out plenty at the pump already. [QUOTE=Linncn]

[/QUOTE]

Linda...and just HOW are we penalizing these people?Hey you guys - I'm one of those big shot oil people - bought oil shares in BP in 1969 - I just got my dividend check - I got 81 cents per share - yes cents - I would have made more on my money in the bank -In fact I made more money in the 60's per share than I do now andf many years it was 25 cents - so it's not even back up to where it was. Bp is putting the money they made back into the US - I don't like paying .00 to fill up my gas tank either - but there is more to it than your reading about. Remember that the gas companies are mostly made up of people like me and you that bought shares to be able to retire one day. I made .50 an hour back then - whaT DO YOU MAKE NOW?I don't care how much money they profit. I believe in people making a living, going to college, buying a house, educating their children...That is part of the american dream. But I don't think I should have to hand out more of my tax dollars so the oil companies can be greedy. Oil comapnies make .06-.08 cents profit per gallon of gas sold. Fed gov makes .18 and the state tax is .15-.30 cents per gallon.

That's not exactly a windfall for the oil companies. It just seems like around here, if a company makes a lot of money people feel they are entitled to a chunk of it. I don't understand that.

Linncn...where have you been? You and I have not had an argument for over a week!!. How was your trip over the fourth? I bet it was hot. It sure was hot here. I'm just checking in before I go to bed. Probably catch you tomorrow. Hey Lorster! I had a really great vacation, one sun filled day at the beach after another. Oh, you'll like this~ I happened to meet Erik from Survivor. Turns out, his parents have a place up in the town we were staying in. He was really nice. [QUOTE=lorster]Linncn...where have you been? You and I have not had an argument for over a week!!. How was your trip over the fourth? I bet it was hot. It sure was hot here. I'm just checking in before I go to bed. Probably catch you tomorrow. [/QUOTE]

LOL I know! I was about to send out the search party for her when I saw her post again! It's not like you guys not to disagree on these things.Starduster -

There's profit - but its not going to the small shareholders. BTW, you need to call them about a reinvestment program where they put your .50 back into buying more stock. And no way do you only have one stock from the 60's. They've split off gazillions of times. We have that with tech stock. No, that money is going to slush operating funds and golden parachutes and whatnot and is enriching the top 3 percent of the company. We had that happen to us. One company, when in bankruptcy, gave 350 Million to the top 3 percent of the company as a morale building payment. It was approved by the receivership court. That 350 million did NOT go to the stockholders who ended up sucking it up as the company was going under. Helped along a bit by that IMHO. No, wait, the company ended up on top - they emerged under reorganization with 5 Billion in profits. Again, that was not given to the stockholders as it was needed in a slush fund to make them more attractive to new investors.

Greed is Good - Gordon Gecko

Pip