This map shows why the cost of gasoline is so high and why there is so much variation from state to state . The simple answer is , of course , taxes , both state and federal . Click on the map below to go to the interactive page that will give the reader specific details for each individual state and bear in mind that , even as the Statists demonize the oil industry as some sort of price-gouging profiteers , that the various government entities make more from the sale of a gallon of gas than do the evil energy producers .
” The federal excise tax is 18.4 cents per gallon, and the rest of the taxes are particular to each state and vary greatly around the country.
The two states with the biggest taxes: New York at $0.505 and California at $0.4978. The two states with the lowest taxes: Alaska at $0.124 and New Jersey at $0.145.
- 10% for refining costs and profits
- 10% for transportation and retailing costs and profits
- 13% for taxes and fees
- 67% for crude oil
One thing to notice: The total costs and profits for everything except the oil is just slightly larger than the amount that goes to state and federal taxes.”
Here is a bit more perspective on those “massive profits” raked in by “Big Oil” …
” ExxonMobil’s earnings are from operations in more than 100 countries around the world. The part of the business that refines and sells gasoline and diesel in the United States represents less than 3 percent – or 3 cents on the dollar – of our total earnings. For every gallon of gasoline, diesel or finished products we manufactured and sold in the United States in the last three months of 2010, we earned a little more than 2 cents per gallon. That’s not a typo. Two cents.”
As the astute reader can easily ascertain , the only “price gouger” in the energy business is the State .