Tag Archives: GISP

International Oil Companies: The Tax Disparity – Part II

photo by Darren Kirby

by Margaret Kearney, Louisa Kellogg, Jacqueline Ho, Katherine Wong

Exxon Mobil Corp. and British Petroleum exhibit extreme differences in the amount of taxes that each corporation pays. In 2011, BP’s tax rate was estimated at around 34 percent, while Exxon Mobil’s tax rate was a record low of 13 percent — less than the rate the average American individual taxpayer pays. Exxon Mobil receives this lowered tax rate due to tax breaks from the U.S. government, such as the domestic manufacturing tax deduction that passed in 2004 and was “designed to keep factories in the United States.”