Mitt Romney’s Chief Energy Adviser Harold Hamm, who is also CEO of Continental Resources, read a prepared statement to Congress today that reads like a spoiled child’s letter to Santa. He doesn’t want to be bothered with environmental regulations, and he’d also appreciate more Federal land to drill on. Despite a string of amassing record-breaking quarters of profit increases he insists that his industry is in dire need of all their tax subsidies, or as he prefers to call them; ‘tax provisions.’ He feels his company’s tax burden is already too much:
These same tax provisions not only allowed us to survive the disastrous years of OPEC dominance and decades of sub-economic oil and gas prices here in America, but most importantly, they allowed us to try new things and fail, and try again and fail, until we finally succeeded in “breaking the code” to produce the vast resource plays (even the source rocks themselves) like the Bakken in Montana and North Dakota. Continental’s effective tax rate is 38%!
According to his own figures, his company made over $1.8 billion in profits over the last 5 years. So at 38%, that comes to around $684 million. Wow, can you believe we have a deficit at all? So, is that what Mr. Hamm’s company paid?
Well, no. In the last 5 years they’ve paid $40 million, or a tax rate of 2.2%, according to Citizens for Tax Justice.
That’s a pretty significant difference. So how did Hamm arrive at his numbers? Some would refer to it as creative accounting, while other might be tempted to call it, making stuff up. According to CTJ:
The figures from his company’s SEC filings make it clear that Hamm’s 38 percent calculation includes both “current” taxes, which are the taxes actually paid each year by the company, and “deferred” taxes, which are taxes the company has not paid, but might pay at some point in the future.
Taxes the company has not paid, but might pay at some point in the future. Caution: Don’t try this at home. Your friendly IRS agent will not accept this math, in lieu of a check for the full amount. And Santa will put you on the naughty list.
Harold Hamm is another billionaire crony in Mitt Romney’s coterie who stands to ‘grow his profits’ obscenely, if we give them the keys to the kingdom. Romney and his confederates have rejected the slogan “Drill baby. drill,” as being too complex. They’ve shortened it to, “Gimme.”
Mitt Romney himself would gain $11.7 million, from his proposed tax code, some of his contributors will save billions. This entire campaign is run by men who are indifferent to the environment, foreign policy, domestic concerns and the truth; anything and everything other than profitits. It’s glaringly, frighteningly obvious how a Romney presidency will look, men of privilege grabbing every resource available, without even deigning to offer plausible lies about their intentions.