End Oil and Gas Tax Subsidies Act of 2025

Plain-English summary

End Oil and Gas Tax Subsidies Act of 2025 This bill repeals or limits tax deductions and credits related to oil and gas production; increases the amortization period of geological and geophysical expenses; prohibits the use of the last-in, first-out (LIFO) accounting method by certain oil companies; and expands the definition of crude oil for certain purposes. The bill repeals the tax credits for producing oil and gas from marginal wells and enhanced oil recovery, tax deduction for intangible drilling and development costs for oil and gas wells, percentage depletion, tax deduction for tertiary injectant expenses, and exception to the passive loss limitations for working interests in oil and gas property. The bill increases the amortization period for geological and geophysical expenses from two years to seven years and prohibits major integrated oil companies from using the LIFO accounting method. The bill excludes from the qualified business income tax deduction items related to oil and gas production, refining, processing, transporting, and distribution.

Deterministically condensed from the official CRS summary; verify details in the official record.