Consider Economic Impact of New Tax
If Ohio Gov. John Kasich’s proposed severance tax on oil and gas production is not approved by state legislators, it will create a $201 million hole in the state budget, proponents of the idea point out.
On the other hand, if the tax is enacted, there is the possibility it will dampen industry enthusiasm for oil and gas drilling in the state. There are other states, after all, with massive deposits of gas and oil to be exploited.
Industry representatives hate the tax, for obvious reasons. But before making a decision on it, legislators should attempt to obtain unbiased information on whether enacting it could dampen enthusiasm for drilling in Ohio.