WASHINGTON – Senate Democrats are moving to quintuple the tax that oil companies pay into an oil spill liability fund.
The move would raise $15 billion over the coming decade as Congress seeks to shore up the fund in the wake of the catastrophic spill in the Gulf of Mexico. But it's also being used to ease a tax hike passed by the House on investment fund managers.
The new legislation would raise the tax on oil produced offshore from 8 cents to 41 cents per barrel. That's nine cents higher than legislation that passed the House last month.
Democrats propose further tax hike on offshore oil - Yahoo! News
I would agree to this on these conditions. 100% of the funds raised went to disaster preparedness and spill mitigation. Including funding and equipping the 1994 plan.
This tax however should only be applied to barrels produced on the gulf.
None of this tax should be used for anything else.