Quote:
Originally Posted by pfezziwig
Government is racking in a huge tax windfall. They make more money just like big oil companies when the price goes up.
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You are saying the U.S. Federal government is operating at a net profit, like the oil companies? *cough* That would be highly inaccurate. ->
http://origin.www.gpoaccess.gov/usbudget/
Are you saying the Federal government is not also a major consumer of oil, gasoline & diesel fuels? (Uhm, hello, we have a war machine to fund daily; those jets, helicopters, HMMVs, ships, etc. all have to be fueled.) As consumers, they have to pay the high prices, too. Time to rethink that assertion, methinks.
Quote:
Originally Posted by pfezziwig
The tax rate does not reflect the sudden increase in gas prices therefore they should lower it or give a tax holiday, there is no justification by the government to gouge consumers like big oil and OPEC.
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How is the U.S. Federal government gouging when, just as you note, the tax rate has remain unchanged with respect to the rising costs -- that's because the tax is not based on how much gasoline or diesel fuel costs per gallon, but is rather a set tax amount per gallon of fuel purchased. Considering I read just yesterday that U.S. gas and diesel fuel consumption is down 1.9% in the past year, the U.S. Fed is in fact earning LESS gas tax revenue now than it was 12 months ago.
And, finally, the gas tax proceeds go to fund road maintenance, construction and other transportation projects unlike the oil companies profits which in large part aren't being spent to aid the public good (it remains to be seen if that's their job, BTW.) Yes, the U.S. Fed could do better at wisely allocating and spending its gas tax revenue, but that is an entirely different kettle of fish from saying they're making a profit or earning more now as a result of the higher oil/gas/diesel prices.
gas tax holiday
Re: gas tax holiday
