How bad was the gas price under Biden in 2022? The IRS has decided that you will have two mileage deduction rates in 2022, for the first time since 2011. The mileage deduction is 58.5c per mile from January through June. For business-related trips, you can deduct 62.5c per mile from July through December. The rate will rise to 65.5c per mile for business-related trips in 2023. This deduction is applicable to electric and gas vehicles. It represents three mileage-related increases in just 13 months. The Biden administration’s war against oil is taking its toll.
During the 1973 Arab oil embargo, federal government oil stockpiling was an important strategy. In 1975, the Strategic Petroleum Reserve was established. The Strategic Petroleum Reserve was established in 1975 by Joe Biden, Democrat President. In 2022, the reserve became an in-kind donation to Democrat Party. Strategically, oil was not used as part of our national defense but as an incumbent protection plan. It was used as part of a political defense strategy in order to protect Democrat candidates against angry voters who were upset about the high prices of oil.
Gas Buddy’s most recent report states that the party is over and the devil has his due. Prices are now at $3.49 per gallon and have risen 33.3 cents per gallon since last month. The Strategic Production Response Act, HR-21, is being proposed by the House Republicans. This would tie all Strategic Petroleum Reserve releases to new drilling permits. These are not the leases Biden speaks of. This Democrat talk point is a rhetorical sleight-of-hand since a lease that you can’t drill on doesn’t make it worth anything for increasing oil production. The new production is what is desperately needed.
Oil production has fallen by about one million barrels per day since Biden was elected. For political purposes, drilling would be far more beneficial than releasing federal oil stockpiled in the market. However, drilling would be against the Biden administration’s strategy to end the use of fossil fuels in the US. The IRS ruling shows that the lack of fossil fuels is increasing the cost of doing business, and driving up consumer prices to an unprecedented level. The IRS is now offering backdoor tax relief to businesses.
Is it time to abolish the Strategic Petroleum Reserve? Or to use market forces to solve the problem. The Strategic Petroleum Reserve was created to facilitate price fixing and has no use. It is unlikely that Republicans will find a way for the oil reserve to be used for emergency purposes, which would be a difficult task. It is impossible to give politicians nice things and expect them not to ruin them. This could be a wake-up call for the federal government to accept the misguided policies that have led to the destruction of the oil market. The IRS is aware of the economic damage that energy policies are causing, so politicians need to wake up and take action.