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Crude Oil Windfall Profit Tax Act of 1980

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The Crude Oil Windfall Profit Tax Act of 1980 (P.L. 96-223) was enacted as part of a compromise between the Carter Administration and the Congress over the decontrol of crude oil prices . The Act was intended to recoup the revenue earned by oil producers as a result of the sharp increase in oil prices brought about by the OPEC oil embargo . According to a report by the Congressional Research Service , the Act's title was a misnomer . "Despite its name, the crude oil windfall profit tax... was not a tax on profits. It was an excise tax ... imposed on the difference between the market price of oil , which was technically referred to as the removal price, and a statutory 1979 base price that was adjusted quarterly for inflation and state severance taxes ." The report also stated that the tax only generated $ 40 billion in net revenue though it was projected to generate $ 175 billion, and because the tax was an excise tax on oil produced domestically in the United States and not imposed on imported oil, it reduced domestic oil production by 1-5% while dependence on imported oil increased by 3-13%.

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5-474: The 96th United States Congress was motivated to enact the tax by several factors: On August 23, 1988, amid low oil prices, the tax was repealed when President Ronald Reagan signed P.L. 100–418, The Omnibus Trade and Competitiveness Act of 1988. Reagan had objected to the tax during his 1980 presidential campaign and promised to repeal it. As with the enactment, Congress was motivated by several factors: Since 1988, no windfall profit tax has been enacted in

10-554: A trifecta for more than one term. This is the most recent Congress to feature a Democratic senator from Idaho, Frank Church , who lost re-election in 1980. This list is arranged by chamber, then by state. Senators are listed in order of seniority, and representatives are listed by district. Senators are popularly elected statewide every two years, with one-third beginning new six-year terms with each Congress, In this Congress, Class 3 meant their term ended with this Congress, requiring reelection in 1980; Class 1 meant their term began in

15-768: The 1980s is not to be confused with the excess profit taxes of World War I , World War II , and the Korean War eras. 96th United States Congress The 96th United States Congress was a meeting of the legislative branch of the United States federal government, composed of the United States Senate and the United States House of Representatives . It met in Washington, D.C. from January 3, 1979, to January 3, 1981, during

20-400: The U.S., however, when gas prices once again reached record levels there was renewed pressure on the U.S. government to bring back the tax. At least nine bills that purported to tax windfall profits of crude oil producers were introduced in the 110th United States Congress during 2007-08 (HR 1500, HR 2372, HR 5800, HR 6000, S.1238, S.2761, S.2782, S.2991, S.3044) . The windfall profit tax of

25-470: The last two years of Jimmy Carter 's presidency . The apportionment of seats in this House of Representatives was based on the 1970 census . Both chambers retained a Democratic majority (though downgraded from the supermajority status in the previous Congress), and with President Carter, maintained an overall federal government trifecta . This is the last Congress in which the Democrats retained

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