A guest column in this week's National Review explores, who profits at the pumps and with high oil prices. No surprise to the CTF, the conclusion of the piece indicates it is government who profits.
- "Over the past quarter century, oil companies directly sent more than $2.2 trillion in taxes, adjusted for inflation, to state and federal governments — three times what they collectively earned in profits over the same time period. Yet some politicians say this is not enough and are proposing a new “windfall profits” tax to raise billions more for federal coffers.
Of course, as most economists agree, corporations don’t pay taxes, people do. Folks like us will really pay those new taxes, either through higher prices at the gas pump or through lower returns in our 401(k)s. Smaller profits for companies means smaller returns for our retirement funds."