Mark Perry: Gasoline Taxes Vs. Exxon Profit, Per Gallon

Michael Giberson

With Exxon Mobil reporting $10.65 billion profits for the quarter, expect (1) news reports on the billions of dollars in profits the company is raking in even as consumers are faced with $4/gallon gasoline, followed by (2) outraged political commentary about how Exxon is profiting from consumer misery.

Mark Perry, blogging at Carpe Diem, offers up a little perspective: Exxon’s profit per gallon of gasoline sold runs a little about 2 cents, while federal, state, and local gasoline taxes per gallon of gasoline range from a low of 26.4 cents (Alaska) to a high of 66 cents (California, New York).

3 thoughts on “Mark Perry: Gasoline Taxes Vs. Exxon Profit, Per Gallon”

  1. …; and, Exxon Mobil actually did something to earn that profit, unlike the states and the feds.

    Would it be impolitic to note that the reported profit is after state and federal income tax and a host of other taxes? (Exxon Mobil paid $26 billion in total taxes during the quarter, including $8 billion in income taxes. Source: WSJ Market Watch)

  2. “Exxon Mobil actually did something to earn that profit, unlike the states and the feds.”

    Tell that to the Navy Seals this weekend.

  3. libert,

    I will assume that the Seals were paid in part from Exxon Mobil taxes. That portion of Exxon Mobil taxes would actually have been used in the pursuit of the powers enumerated for the federal government in the Constitution, unlike the majority of those taxes.

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