Obama Assault on the Energy Sector

From the Obama Budget we see the following new taxes on oil and coal.

Oil and Gas

Repeal Credit for Oil and Gas Produced from Marginal Wells - we used to give a tax break to producers to help make pumping oil out of marginal wells profitable.  Now more of those wells will be shut down and our domestic production of oil will drop as a result.

Repeal Expensing of Intangible Drilling Costs - If you run a non oil and gas or coal business and spend money on these same type of expenses you deduct them as business expenses.  Now oil and gas companies will reduce their exploration budgets to a bare minimum because they can't write most of it off.  Less exploration equals less domestic production.

Repeal Domestic Manufacturing Deduction for Oil and Gas Production - Now producing things overseas will be on a level playing field with domestic production.  Should ship a few jobs overseas.

Coal

Repeal Expensing of Exploration and Development Costs - If you run a non oil and gas or coal business and spend money on these same type of expenses you deduct them as business expenses. Now oil and gas companies will reduce their exploration budgets to a bare minimum because they can't write most of it off. Less exploration equals less domestic production.


Repeal Domestic Manufacturing Deduction for Coal and Other Hard Mineral Fossil Fuels - Now producing things overseas will be on a level playing field with domestic production. Should ship a few jobs overseas.


I think this is simply Cap 'n Steal in sheeps clothing.  Obama wants to destroy the oil, gas and coal industries and this budget is clear evidence of that. 

Oh by the way, if you buy electricity, gasoline, or natural gas or fuel oil YOU will be paying more so while you are not techinically being taxed it feels just like you are.