Found: $50 billion a year to apply against the debt. Where, you ask?
Few have heard of and fewer still understand the 15 percent oil and gas depletion allowance. To meet the needs of a growing nation and a budding automobile industry, this subsidy was established 100 years ago to encourage the discovery of oil, leading to its number one byproduct - gasoline. This tax loophole has outlived its original purpose in that oil companies today enjoy $100 per barrel versus $13 per barrel 100 years earlier, along with advanced geophysical techniques that substantially lessen the risk in finding new oil fields.
With the elimination of this tax crutch, the Treasury could reap in excess of $50 billion annually. Conservatives advocate for less government. How about starting here?
David L. Florence
Haiku
