A proposal to eliminate Big Oil tax breaks has been taken off the table as the Senate negotiates legislation directed at achieving President Obama’s job plan.
President Obama, who unveiled his comprehensive plan for job creation in September, proposed the elimination of more than $40 billion in Big Oil tax breaks to help offset costs of the proposal. Rather than removing the taxpayer handouts however, Senate leadership has instead chosen to incorporate a 5% millionaire tax into the plan.
Despite reaping record profits and laying off thousands of workers in the meantime, Big Oil continues to navigate around the tax system. Oil giant Exxon Mobil, for example, pays a lower effective tax rate than the average American.