Biden to Raise the Possibility of a ‘Windfall Tax’ on Energy Companies

By Sam Boughedda

U.S. President Joe Biden will discuss the possibility of imposing a windfall tax on energy firms, according to a report by AP News on Monday.

AP quoted the White House as saying the President will make the remarks following “reports over recent days of major oil companies making record-setting profits even as they refuse to help lower prices at the pump for the American people.”

It comes as the Biden administration aims to combat high and gas prices days before the midterm elections.

The report, citing sources familiar with the matter, reveals that Biden will raise the possibility of imposing a tax on the profits of energy companies in order to pressure them to lower prices for consumers.

Over the weekend, Biden tweeted that “oil companies made billions in profits this quarter” and “they’re using these record profits to pay out their wealthy shareholders instead of investing in production and lowering costs for Americans. It’s unacceptable. It’s time for these companies to bring down prices at the pump.”

High energy prices have fueled the inflation surge this year.

Last week, Exxon Mobil (NYSE:) a record-breaking profit, while Chevron (NYSE:) $11.23 billion in profits, almost hitting its record from the prior quarter.