"The Obama administration's proposed $10.25 tax on each barrel of crude oil produced in the United States would be one of the biggest tax increases on gasoline in history, a report released Thursday showed". And, also kill the US fracking industry, not to mention propping up the Saudi's

Report: Obama's oil tax would mean huge tax hike for gasoline

Kyle Feldscher

The Obama administration's proposed $10.25 tax on each barrel of crude oil produced in the United States would be one of the biggest tax increases on gasoline in history, a report released Thursday showed.

Alaska Republican Sen. Lisa Murkowski, chairwoman of the Senate Energy and Natural Resources Committee, released a Congressional Research Service report showing historical increases in the federal gasoline tax in an attempt to put the oil tax in perspective. While the tax would be levied on oil companies, economists assume that oil companies would pass on the tax to consumers.

The tax could add between 20-25 cents per gallon, and the report shows that one-time increase would be the largest increase in the gas tax since it was passed in 1932.

The federal gas tax was raised 5 cents in April 1983 and December 1990, the biggest jumps in the climb from 1 cent per gallon in 1932 to the current 18.4 cents per gallon.

The Obama administration's proposed $10.25 tax on each barrel of crude oil produced in the United States would be one of the biggest tax increases on gasoline in history, a report released Thursday showed.

Alaska Republican Sen. Lisa Murkowski, chairwoman of the Senate Energy and Natural Resources Committee, released a Congressional Research Service report showing historical increases in the federal gasoline tax in an attempt to put the oil tax in perspective. While the tax would be levied on oil companies, economists assume that oil companies would pass on the tax to consumers.

The tax could add between 20-25 cents per gallon, and the report shows that one-time increase would be the largest increase in the gas tax since it was passed in 1932.

The federal gas tax was raised 5 cents in April 1983 and December 1990, the biggest jumps in the climb from 1 cent per gallon in 1932 to the current 18.4 cents per gallon.

The Obama administration has not fleshed out many details of the proposed tax, such as what products made from a barrel of oil would be taxed and how much. A typical barrel of oil produces 19 gallons of gasoline and 12 gallons of diesel fuel when refined.

The service reported transportation and home heating costs would increase if the oil tax became law. Oil companies would be less likely to hire new workers and explore for new oil sources as well.