The nightmare of taxing carbon dioxide

[Elderberry]

Cfact.org August 24, 2018   by David Wojick, Ph.D

A lot has been written about the proposed carbon dioxide tax bill introduced in the US House by republican Representative Carlos Curbelo. Many writers have pointed out that it is expensive, pointless and has no chance of passage in the present Congress. It is an election year gimmick at best.

But it is also worth looking at more deeply since it exemplifies why so-called “carbon taxes” are unworkable. The Bill is an administrative nightmare. This is because fossil fuels are central to our lives.

The Bill is over 70 pages long, with several distinct sections. Each of these addresses a fundamental problem with the idea of taxing carbon dioxide emissions.

To begin with, the Bill does not tax emissions, even though that is the language it uses. It can’t because emissions are innumerable and everywhere. Most homes and almost every car emit carbon dioxide. So do countless other sources, from airplanes to lawn mowers, home heating to barbecues.

So the Bill taxes the production of hydrocarbons instead. Exactly where this happens in the production process varies, which is already a complication. It also taxes imported hydrocarbons, sometimes at the point of entry, but not always. Oil and natural gas come into the country in complex ways. It also taxes other stuff.

These taxes are thus collected from many places, in many ways. This is done by the IRS, which has no expertise in such matters, so maybe the IRS will add a new wing on to do it. This will no doubt create a lot of jobs.

The total cost of this Bill is estimated to be upwards of a trillion dollars, which is a lot of taxes. After all, it is specifically designed to drive up the cost of carbon based energy, which is most of the energy we use in America.

Here the huge problem is that a lot of hydrocarbons are not burned, so they create no emissions. They are used in myriad ways, including as process chemicals, for plastics and drugs, for lubrication, etc.

More: http://www.cfact.org/2018/08/24/the-nightmare-of-taxing-carbon-dioxide/

[Smokin Joe]

The more you exercise, the more oxygen you consume, the more CO2 you produce. Will the carbon tax be levied on exercise equipment, gym memberships, running tracks and shoes, etc? How about frantic liberals who hyperventilate because they think the world is going to end if I keep my home above freezing at a higher latitude? Can we tax them extra, too?

[jmyrlefuller]

The more you exercise, the more oxygen you consume, the more CO2 you produce. Will the carbon tax be levied on exercise equipment, gym memberships, running tracks and shoes, etc? How about frantic liberals who hyperventilate because they think the world is going to end if I keep my home above freezing at a higher latitude? Can we tax them extra, too?

They'd tax children if they could.

[Smokin Joe]

They'd tax children if they could.

They do. They say its for schools, and "Education", but the more they spend, the less 'educated' the children seem...

[Gefn]

@Suppressed

Isn’t carbon diaoxide farts?

I think I have a carbon monoxide monitor in my apt. But that’s mandatory so I don’t die.

[Smokin Joe]

@Suppressed

Isn’t carbon diaoxide farts?

I think I have a carbon monoxide monitor in my apt. But that’s mandatory so I don’t die.

@Freya No, Farts are usually methane (an even worse greenhouse gas). We breathe in oxygen, and exhale Carbon Dioxide.