American Oil and Gas Reporter - October 2024 - 49

Election2024: Industry Analysis
the 2017 Tax Reforms and Jobs Act due to expire at
year-end 2025. That means they may be looking for
offsets to close or narrow a multi-trillion-dollar
revenue gap. Harris already has pledged to raise the
corporate tax rate by seven points and quadruple the
buyback tax, but a Harris administration also may
take aim at oil-and-gas-relevant provisions within
the permanent code, as well.
The IRA's expanded Section 45Q credit seems
likely to retain the bipartisan support that undergirded
its initial revamp in the 2018 Balanced Budget Act,
partly because it now applies to direct air capture in
addition to enhanced oil recovery and secure geological
storage. However, newer provisions such as 45Q and
the 45V clean hydrogen credit can be vulnerable to
modification based on public perceptions of energy
companies (which tend to be driven by pump prices).
In repeated budget requests to Congress, the
Obama and Biden administrations called for rescinding
both percentage depletion and intangible drilling
cost deductions (along with a host of other provisions).
Those attempts failed, but some of lawmakers' recent
bids for budget offsets succeeded. Capitol Hill reinstated
Superfund taxes in the bipartisan Infrastructure
Unbeknownst to most Americans and even members
of Congress, the Biden-Harris administration pushed
a vote on the IRA on the basis that it would provide
$369 billion in subsidies for " green " energy. Shortly
after Congress was hoodwinked into voting for it, financial
firms and consultants quickly pegged those
provisions' costs to taxpayers at $3 trillion by 2030
and $11 trillion in total.
The Biden-Harris administration is doing everything
possible to increase those numbers by many trillions
further, adopting unreasonable interpretations in
IRS regulations to carve out loopholes that expand
taxpayer-funded payouts to their donors, for as long
as possible. A Trump administration will need to
expose those unreasonable interpretations and hundreds
of other policies with a fine-toothed comb
and gradually start untangling the trillions of dollars
in hidden carbon taxes imposed on American taxpayers
and consumers.
Drilling for American
Energy Independence!
With a fleet of high-spec AC & SCR land rigs, Latshaw Drilling is positioned
to meet our customers' requirements now and for the foreseeable future.
These capabilities derive their strength from our seasoned work force who
are the backbone of our company. We take pride in our men and women
who work hard every day to bring America closer to energy independence!
Give us a call today!
Joseph Hudson | SR VP, Marketing/Sales | 281-841-5241
Leroy Peterson | VP, Contracts | 432-889-8884
Jonathan Leininger | VP, Business Development | 903-954-0820
One of America's Leading Drilling Contractors!
© 2024 Latshaw Drilling
www.latshawdrilling.com
http://www.latshawdrilling.com
American Oil and Gas Reporter - October 2024

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