OK, so the administration is targeting tax code provisions that historically have encouraged domestic oil and natural gas exploration and development. The idea is to eliminate certain deductions currently allowed to energy companies and other industries - although the administration's only talking about ending them for oil and natural gas - and direct $4 billion to other purposes.
While the administration argues more taxes are needed because of higher gasoline prices, there's simply no economic connection between the two. "Raising taxes on oil and natural gas companies - or even a handful of the biggest U.S. energy companies - won't reduce gasoline prices," API President and CEO Jack Gerard told reporters recently. So why do it? Politico Pro's Morning Energy explains (subscription): "Democ... more »