Independent petroleum association president emphasizes capital recovery as nation debates tax reform
In an op-ed published in Investor’s Business Daily, Independent Petroleum Association of America (IPAA) President and
CEO Barry Russell highlighted the importance of capital recovery for independent petroleum producers.
Capital recovery, Russell wrote, allows petroleum companies to recover costs associated with energy development and
reinvest those funds in new projects.
“As Washington, D.C. looks to tackle reforming the tax code, the critical role of American energy production cannot be overlooked,” Russell said. “Tax reform is essential to keep the U.S. economy growing. This effort needs to move in the direction of strengthening businesses of many shapes and sizes, putting our economy on a track for success, and creating new jobs and opportunities along the way for our workforce.
The editorial, titled Don’t Let Tax Reform Hamper the Nation’s Energy Needs, noted the importance of tax provisions such as the treatment of intangible drilling costs and percentage depletion for the continued success of petroleum businesses, especially independent oil and natural gas producers.
“Efforts must fully assess successful tax policies currently in place and look for changes that support growth and continued investment in the U.S.,” Russell said. “Any change to the tax laws that limits this ability will hurt our world-leading energy standing and the men and women working every day to support it.”
