The Consumer-First Energy Act of 2008 — Business Management Daily: Free Reports on Human Resources, Employment Law, Office Management, Office Communication, Office Technology and Small Business Tax Business Management Daily
New legislation proposed in Congress pays heed to higher gas prices. The “Consumer-First Energy Act of 2008” would impose a 25% tax on windfall profits of major oil companies, but excess profits invested in certain renewable fuel sources or renewable electricity production would be exempt. Proceeds from the windfall profits tax would be diverted to a special fund. In addition, the bill eliminates the Sec. 199 manufacturing deduction for major oil and gas companies and tightens restrictions on foreign tax credits on oil and gas income. According to experts, this particular bill is facing an uphill battle, but other energy-related legislation could emerge from Congress before year-end.