Democrats seek to boost taxes on oil companies

WASHINGTON (AP) — Democrats in Congress are relying on record oil prices and a surge in gasoline costs to make another attempt at imposing $18 billion in new taxes on the largest oil companies.

With crude oil prices exceeding $100 a barrel and gasoline prices moving well over $3 a gallon — and indications that $4 is not out of the picture as the summer driving season approaches — the House scheduled a vote on the tax measure for late Wednesday afternoon.


The House bill, similar to one that failed to win Senate approval last fall, would roll back two lucrative tax breaks for the largest U.S. oil companies, and use the money for tax incentives to support wind, solar and biofuel industries as well as energy efficiency programs.

House Speaker Nancy Pelosi sought to use the soaring prices at the pump as a way to garner support for the bill. Her office distributed a state-by-state list of high gasoline prices — up by more than 75 cents a gallon from a year ago — compared with oil industry profits, including a record $40.6 billion in earnings by ExxonMobil Corp. last year.

AP