Friday, April 25, 2008

GAS

There is a very simple solution to lower gas prices across the country, but no politician is suggesting it. Democrats like Barack Obama and Hillary Clinton talk about a "windfall" profit tax on oil companies, while Republicans offer up no viable solution. With gas prices over $3/gallon, the best and fastest solution to reduce the cost is to eliminate the federal and state taxes on gasoline!!! It's very simple. For every gallon of gas you pump, the federal government takes 18.4 cents. Then the state gets a piece of the pie. The worst offending state is New York, which takes a whopping 42.4 cents per gallon. The least offending state is Alaska, but even they take 8 cents per gallon. The combined average tax on the American consumer is 46 cents per gallon. Eliminate the gas tax completely and you will immediately reduce gas prices.
Of course we know that politicians would never, ever get rid of the gas tax. Democrats never reduce taxes and Republicans will never bring it up for fear of shining the spotlight on their beloved oil industry.
Politicians would rather tax something rather than eliminate a tax. I am a huge fan of Barack Obama, but if he decides to tax American corporations for making a large profit, which is what they're supposed to do, he should have his head examined. The windfall profit tax is one of the worst ideas I have ever heard of. It is anti-capitalism and anti-American. It would set a precedent that allows a politician to decide how much profit is too much, which is a frightening thought.

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