The Honorable Max Baucus
Chairman Committee on Finance
United States Senate
Washington, DC 20510
The Honorable Orrin Hatch
Ranking Minority Member
Committee on Finance
United States Senate
Washington, DC 20510
Dear Chairman Baucus and Senator Hatch:
Business Roundtable CEOs, who lead companies that collectively employ more than 13 million Americans and generate nearly $6 trillion in annual revenues, strongly oppose legislation to increase the tax burden on America’s oil and natural gas industry. This will do nothing to increase our energy production or reduce the prices consumers pay. In fact, it will have the opposite result. Business Roundtable supports comprehensive corporate tax reform and our members believe that any changes to U.S. tax law should be undertaken in the context of comprehensive reform. Punitive and discriminatory tax increases targeted at a single industry sector are never justified, but they are particularly ill-advised at a time when America is still struggling to recover from a deep recession of historic proportions as evidenced by an unemployment rate of 9.0 percent and first quarter GDP growth of 1.8 percent.
Business Roundtable member companies in the oil and natural gas industry and their many suppliers are committed to building an energy future that is more diverse, more domestic and more efficient. They are actively developing advanced energy innovations to increase domestic production and ensure a reliable supply of fuels for America’s homes and factories.
The oil and natural gas industry supports the jobs of millions of Americans. Increasing its tax burden will slow the pace of innovation, stifle job creation and reduce economic growth. Attempting to reduce federal deficits with tax increases that threaten U.S. jobs, energy security, economic growth and international competitiveness would be counterproductive. This is a tax increase America’s families cannot afford.
Business Roundtable strongly opposes these new taxes.
Sincerely,
John Engler
JE/rr
C: U.S. House of Representatives
U.S. Senate