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Title: Energy Tax Act of 1978

Abstract

The Energy Tax Act of 1978 amends the Internal Revenue Code of 1954 in several ways to provide tax incentives for actions that would conserve energy or substitute alternative sources of energy for oil and gas. The Act provides residential energy credit, a gas guzzler tax, subsidies for gasohol, reduced excise taxes on buses, and incentives for vanpooling. It also provides for changes in the investment tax credit to promote conservation, the introduction of percentage depletion, and the accounting as expenses the intangibles connected with producing geothermal energy. The main thrust of the Act's provisions are indicated and an economic analysis made which indicates that some allocative inefficiency will result. A condition of tax neutrality and free oil and gas prices would, ideally, provide the necessary incentives. There may be some extenuating circumstances relating to competitive imperfections that justify some temporary special tax treatment of renewable energy sources.

Authors:
Publication Date:
Research Org.:
Univ. of Texas, Austin
OSTI Identifier:
5625890
Resource Type:
Journal Article
Journal Name:
Nat. Resour. J.; (United States)
Additional Journal Information:
Journal Volume: 19:4
Country of Publication:
United States
Language:
English
Subject:
29 ENERGY PLANNING, POLICY AND ECONOMY; ENERGY CONSERVATION; FINANCIAL INCENTIVES; NATIONAL ENERGY ACT; TAXES; ECONOMIC ANALYSIS; ECONOMIC IMPACT; ECONOMIC POLICY; SUBSIDIES; SYNTHETIC FUELS; ECONOMICS; FUELS; GOVERNMENT POLICIES; LAWS; 293000* - Energy Planning & Policy- Policy, Legislation, & Regulation; 290200 - Energy Planning & Policy- Economics & Sociology; 291000 - Energy Planning & Policy- Conservation

Citation Formats

McDonald, S L. Energy Tax Act of 1978. United States: N. p., 1979. Web.
McDonald, S L. Energy Tax Act of 1978. United States.
McDonald, S L. Mon . "Energy Tax Act of 1978". United States.
@article{osti_5625890,
title = {Energy Tax Act of 1978},
author = {McDonald, S L},
abstractNote = {The Energy Tax Act of 1978 amends the Internal Revenue Code of 1954 in several ways to provide tax incentives for actions that would conserve energy or substitute alternative sources of energy for oil and gas. The Act provides residential energy credit, a gas guzzler tax, subsidies for gasohol, reduced excise taxes on buses, and incentives for vanpooling. It also provides for changes in the investment tax credit to promote conservation, the introduction of percentage depletion, and the accounting as expenses the intangibles connected with producing geothermal energy. The main thrust of the Act's provisions are indicated and an economic analysis made which indicates that some allocative inefficiency will result. A condition of tax neutrality and free oil and gas prices would, ideally, provide the necessary incentives. There may be some extenuating circumstances relating to competitive imperfections that justify some temporary special tax treatment of renewable energy sources.},
doi = {},
journal = {Nat. Resour. J.; (United States)},
number = ,
volume = 19:4,
place = {United States},
year = {1979},
month = {10}
}