the constant skeptic

WASHINGTON (AP) - House Republicans on Thursday refused to support billions of dollars in new taxes on oil companies as lawmakers in both parties looked for ways to soothe election-year rage over high gasoline prices.

Senate Republicans proposed a $100 fuel-cost rebate for millions of taxpayers. Democrats talked of a two-month suspension of the 18.4-cent per gallon federal gasoline tax.

Despite the jockeying for political advantage, economists and energy experts generally agreed that the government has few, if any, immediate powers to drive pump prices down for their $3-plus perch.

“Unfortunately there’s nothing, really, that can be done that’s going to affect energy prices or gasoline prices in the very short run,” Federal Reserve Chairman Ben Bernanke told a congressional hearing.

Nonetheless, lawmakers scrambled to put together legislation they hoped would show their sympathy for motorists and their willingness to stand up to big oil companies.

The GOP-run House, in a largely partisan vote, failed 190-232 to instruct its tax bill negotiators to support a Senate proposal that would have required oil companies to pay about $5 billion more in taxes. Only four Republicans voted for the proposal; nine Democrats were against it.

Senators have voted to require oil companies to pay more taxes on their inventories, rescind favorable tax treatment for exploration in difficult areas and remove tax credits for taxes paid overseas.

Despite the House vote, the proposals are “still on the table,” said Sen. Charles Grassley, R-Iowa, the lead Senate negotiator.

Senate Democratic leader Harry Reid of Nevada said the tax breaks are “unnecessary and unwarranted” when oil companies are reaping billions of dollars in profits. The industry says the change would amount to a windfall profits tax.

tax breaks for oil companies? I didn’t even know that existed…. Get rid of the tax credits for taxes paid overseas… ridiculousness…. does exxon really need the Billions of dollars in revenue?