Petroleum and Ethanol Fuels:

Tax Incentives and Related GAO Work

RCED-00-301R: Published: Sep 25, 2000. Publicly Released: Oct 13, 2000.

Additional Materials:


James E. Wells, Jr
(202) 512-6877


Office of Public Affairs
(202) 512-4800

Pursuant to a congressional request, GAO provided information on the tax incentives that benefit the petroleum and ethanol industries.

GAO noted that: (1) specific petroleum tax incentives range from about $330 million for the expensing of tertiary injectants to about $82 billion for certain cost depletion deductions; (2) some of the tax incentives for the petroleum industry have been in place for many decades, but over the past 25 years, these incentives have generally been scaled back; (3) ethanol fuel tax incentives ranged from $198 million for alcohol fuel tax credits to almost $11 billion for the excise tax exemption for alcohol fuels; (4) these tax incentives were instituted in 1979-1980; (5) in the past decade, these incentives have been extended, but the rates of exemption and credit have been reduced somewhat; (6) the estimated revenue losses for these tax incentives should not be added together; and (7) the estimate for each tax incentive is made independently of any other tax incentive, and the effect of making more than one change might be greater than or less than the sum of the changes.

Apr 18, 2018

Apr 5, 2018

Mar 20, 2018

Mar 14, 2018

Feb 28, 2018

Feb 16, 2018

Feb 6, 2018

Jan 30, 2018

Dec 7, 2017

Nov 14, 2017

Looking for more? Browse all our products here