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    LIE


    Oil companies receive the same tax deductions as everyone else

    TRUTH

    Oil companies receive a special tax deduction specifically for drilling


    A 2012 Reuters article reported that “experts across the political spectrum” say that there is a drilling deduction that “is a clear exception made for oil”:

    One major tax break for energy companies is a nearly century-old benefit letting them deduct "intangible drilling costs" (IDC) immediately rather than over time.

    Most of the IDC is for the labor costs of drilling a well.

    [...]

    Many tax experts across the political spectrum said the IDC is a clear exception made for oil. As a rule, expenses that produce income in the future are not immediately deductible.

    Even the conservative Heritage Foundation, which rejects referring to "broad tax policies that apply to many industries" as subsidies, acknowledges that the oil industry receives "Special Tax Treatments," such as the depletion allowance for oil and gas producers, and the Enhanced Oil Recovery and Marginal Well Production tax credits.