Obama's Budget Pummels U.S. Economy with "Double Whammy"

(Alexandria, VA) -- The 362,000-member National Taxpayers Union (NTU) today responded to the Obama Administration's attempt to impose over $30 billion in tax increases on oil and gas companies -- one of the few industries still actively contributing to the U.S. economy -- in its recently unveiled budget plan. The President's plan also imposes a cap-and-trade tax amounting to $646 billion -- a colossal tax hike with enormous cost and regulatory implications. With Congressional hearings already underway for President Obama's $3.6 trillion budget, NTU President Duane Parde released the following statement:

"At a time when so many households are facing previously unimaginable financial constraints, it's more counterproductive than ever for Washington to subsidize politically favored industries while punishing others with tax hikes. The $30 billion-plus tax increase on domestic energy production outlined in the White House's budget would penalize one industry while imposing higher costs on millions of Americans.

"Moreover, the Administration's proposed cap-and-trade scheme effectively amounts to a huge tax hike that would increase the cost of natural gas and electricity for struggling American families. Though tax penalties seem to have become the default budget 'solution' on Capitol Hill, polls show that the American public is not convinced this strategy is the best or only path to a more sustainable future. And new research demonstrates that better options exist.

"The majority of Americans -- even the majority of Obama voters -- support developing our domestic energy supplies. Simply releasing our currently off-limits energy resources would help create more than a million jobs while simultaneously bringing in billions in revenues that could be used to ease crushing burdens on taxpayers. Combining tax hikes with continued impediments to domestic energy production would deliver a 'double whammy' to our already reeling economy."

NTU is a nonprofit, nonpartisan organization founded in 1969 to work for lower taxes, smaller government, and economic freedom at all levels. Note: For more information, visit www.ntu.org or www.nonewenergytaxes.com.