industry taxes

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ExxonMobil’s U.S. tax burden is already very large.

• From 2003 to 2007, our U.S. tax bill ($64.7 billion), including all forms of taxation, exceeded our U.S. earnings ($46.0 billion) by almost $19 billion.
• ExxonMobil's worldwide effective income tax rate for 2007 was 44 percent. A recent survey by Tax Notes of 80 leading U.S. companies revealed that these companies had an average income tax rate of 30 percent.
• In 2007, ExxonMobil's worldwide tax expenses amounted to over $105 billion.
• While our worldwide profits have grown, our worldwide income taxes have grown even more. From 2003 to 2007, our earnings grew by 89 percent, but our income taxes grew by 170 percent.

Additional taxes would raise prices and reduce supplies.

• In the past, windfall profit taxes have undermined capital investments in the oil and gas industry and reduced domestic energy supplies. "Backdoor" windfall profit taxes would be no less damaging.
• According to a 1990 Report of the Congressional Research Service, the windfall profit tax of the 1980’s reduced domestic oil production as much as six percent, and increased imports as much as 16 percent.
• Industry projects span decades, require massive investments, and utilize cutting-edge technologies that evolve throughout project lifecycles. Under these circumstances, long-term planning — which relies on stable legal, fiscal and regulatory frameworks — is critical.
• Imposing punitive taxes on U.S. energy companies, which already pay record taxes, would discourage the sustained investments needed to safeguard U.S. energy security.