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Doyle is right on Oil

JS Online:

“Comparing ExxonMobil’s corporate profits generated worldwide to the amount of tax paid in Wisconsin is absurd,” said company spokesman Gantt H. Walton. Doyle “wants to tax money we make in Nigeria, or Alaska?” Walton said. “We just don’t see how that would be good for business.”

While it is certainly true Doyle is a corrupt, pro-business, Demopublican, on the oil issue he is right on.

Personally I think he should cut to the chase and make combined reporting the law of the state. While technically legal, although highly unfair and unethical, selective reporting is the cause of Wisconsin losing billions of dollars in loss tax revenue. With combined reporting Wal-Mart, the banking industry, as well as the oil companies would pay there rightful share.

Combined reporting of course does not work like Walton describes. Twenty states currently use combined reporting and many of them the so called red states. Here is a table that explains how combined reporting would work. So, no, Walton, it would not tax you on your income from Alaska, but simply give Wisconsin its rightful share of tax sharing.

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