Perceptions on tax reform
US consumers and oil and gas executives are uncertain and slightly divided about what tax reform will mean – according to the EY Oil and Gas US Perceptions survey. Tax reform has long been a desire of many in Washington, D.C., but it is impossible to predict what provisions would be included in any draft legislation or what the final bill would look like.View infographic
Consumers and executives expectations for tax reform
While more than half of consumers believe tax reform would be good for large investors, they are divided on the impact to energy prices, consumers, the economy and national debt. Oil and gas executives, however, are much more bullish on tax reform — more than three-fourths believe it would be good for large investors, the overall economy, consumers, and small investors.
Consumers think tax reform will be good for:
Executives think tax reform will be good for:
Impact of tax reform on oil and gas
Consumers have mixed views on how tax reform should impact the oil and gas industry. Around one-third of respondents agreed the industry should pay the same amount as they currently do while another one-third said oil and gas companies should pay more taxes. Only 15% of consumers said oil and gas companies should pay lower taxes.
If tax reform occurs, consumers believe taxes on oil and gas companies should be:
Taxes in oil and gas compared to other industries
Despite division on the impact of tax reform to the oil and gas industry, a majority of consumers agreed the industry should pay the same amount of taxes as companies in other industries. Only 22% of consumers said oil and gas companies should pay more than their counterparts in other industries.