INHOFE - TAX EXTENDERS BILL NEEDS GREATER OFFSETS

WASHINGTON, D.C. – U.S. Sen. Jim Inhofe (R-Okla.), a recipient of the National Taxpayers Union “Friend of the Taxpayer” Award, today made the following statement about his vote against the Senate-passed Tax Extenders bill:

“There are many good provisions in this bill that I support that would be beneficial to Oklahoma business, agriculture, energy production, and health care,” Inhofe said.  Unfortunately, they only make up a small portion of the overall bill, which would add an additional $100 billion to the deficit. I am disappointed that, despite two Republican efforts to offset the entire bill, the majority of the spending is not paid for.  We cannot continue these spending habits that are enlarging the debt that will be owed by our children and grandchildren.  I am hopeful that the House will return this legislation in a manner that does not add to our deficit.”  Inhofe’s record on supporting the tax extenders: 

Inhofe has a strong voting record that supports measures to continue tax relief. In his more than a decade of service as a U.S. Senator, he has voted 25 times to extend individual tax extender provisions, or groups of tax extender provisions. From time to time, Congress considers an annual tax bill known as the “tax extenders package,” which reauthorizes expiring tax provisions all at once. Inhofe has voted nine times for “extenders packages” in the Senate.

 

Ø  June 27, 1997; H.R. 2014; “The Taxpayer Relief Act of 1997” (Senate Bill)

Ø  July 31, 1997; H.R. 2014; “The Taxpayer Relief Act of 1997” (Conference Report)

Ø  October 21, 1999; H.R. 1180; “Ticket to Work and Work Incentives Improvement Act of 1999” (Senate Bill)

Ø  October 29, 1999; S. 1792; “Tax Relief Extension Act of 1999”

Ø  March 8, 2002; H.R. 3090; “Job Creation and Worker Assistance Act of 2002”

Ø  September 23, 2004; H.R. 1308; “Working Families Tax Relief Act of 2004”

Ø  February 2, 2006; H.R. 4297; “Tax Increase Prevention and Reconciliation Act of 2005” (Senate Bill)

Ø  May 11, 2006; H.R. 4297; “Tax Increase Prevention and Reconciliation Act of 2005” (Conference Report)

Ø  December 9, 2006; H.R. 6111; “Tax Relief and Health Care Act of 2006”

 Two provisions which have been components of tax extenders packages are particularly important to Oklahoma’s economy: the Indian lands depreciation provision and the suspension of the net income limitation for energy produced from marginal wells. In addition, the Indian employment tax credit is a provision important to Oklahoma’s labor market. Inhofe has consistently taken the lead on ensuring that these provisions are extended. Over the past few years, he has taken numerous actions to make sure these provisions remain in law and helpful to Oklahoma’s economic growth and leadership in energy production.  Ø  Inhofe’s bill, S.1728, to extend Indian depreciation and employment credit, became public law in the 109th Congress as part of the 2006 extenders package. Ø  Inhofe introduced S.176, a bill to extend these two provisions in the 110th Congress. Senator Inhofe introduced S.905, a bill to extend the net income suspension from marginal well in March of 2007 for the 110th Congress. Ø  Inhofe filed Senate Amendment #1619 to energy legislation which would have permanently extended the suspension of the net income limitation on energy production from marginal wells. Ø  Additionally, Senators Inhofe and Coburn introduced legislation (S. 289) with Rep. Dan Boren (HR 617) to permanently eliminate the taxable income limit on percentage depletion for oil and natural gas production from marginal wells.

Ø  Inhofe and Boren introduced the Marginal Well Production, Preservation and Enhancement Act (S. 286 and HR 611) to encourage marginal well production.  The bill would increase the percentage depletion allowance (for marginal wells only) from 15 percent to the historical rate of 27.5 percent exclusive of daily production levels.  This provision is not available for integrated major oil companies.  The bill also permanently eliminates the net income limitation on percentage depletion which discourages investment to maintain marginal wells and instead encourages producers to plug wells.

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