Sep 27, 2017 On Tax Reform, Capital Recovery Provisions Critical for Independent Oil and Natural Gas Producers
WASHINGTON, D.C. – Representing the nation’s independent producers that develop 90 percent of America’s oil and natural gas and generate 4 percent of the U.S. Gross Domestic Product, IPAA President and CEO Barry Russell issued the following statement on the Republican tax reform plan announced today:
“Today’s tax reform framework is a positive step forward for hardworking Americans, a stronger economy, and continued U.S. investment. While lower tax rates are an important component of tax reform, America’s independent oil and natural gas producers rely on capital recovery provisions to reinvest back into the U.S. economy. The value of our member companies, large and small, is predicated on their ability to reinvest capital quickly and efficiently to produce more American energy, hire talented employees, buy new equipment, and grow their local economies. The ability to immediately expense capital costs is critical to the continued American energy dominance and the hardworking men and women working every day to support it. The inclusion or elimination of specific tax provisions, yet to be outlined, will be crucial to evaluating this tax reform plan.
“IPAA and its member companies look forward to working with Congressional leaders and The White House on common sense tax reforms that strengthen businesses of all sizes, grow our economy, and create new jobs and opportunities for hardworking Americans.”
Learn how capital recovery provisions support continued American energy production and job growth across the nation at EnergyTaxFacts.com.
About the Independent Petroleum Association of America
The Independent Petroleum Association of America (IPAA) is a national upstream trade association representing thousands of independent oil and natural gas producers and service companies across the United States. Independent producers develop 90 percent of the nation’s oil and natural gas wells. These companies account for 54 percent of America’s oil production, 85 percent of its natural gas production, and support over 2.1 million American jobs. Learn more about IPAA by visiting www.ipaa.org and following @IPAAaccess on Twitter.