Republicans Weigh 18.4-Cent Federal Gas Tax Holiday as Iran War Drives Price Surge
Updated
Updated · Bloomberg · May 12
Republicans Weigh 18.4-Cent Federal Gas Tax Holiday as Iran War Drives Price Surge
4 articles · Updated · Bloomberg · May 12
Mike Johnson said suspending the 18.4-cent-per-gallon federal gas tax is “an intriguing idea,” signaling Republican leaders are actively considering relief as gasoline prices climb.
Johnson stopped short of backing a timeline, saying lawmakers still need to assess unintended consequences before deciding whether to move ahead.
Momentum is building in both the House and Senate for action tied to the price spike, which Republicans are linking to the Iran war.
The debate centers on whether a federal tax holiday would quickly ease pressure on drivers without creating new fiscal or market distortions.
Could a gas tax holiday backfire by boosting fuel demand and delaying crucial road repairs?
With the gas tax failing to cover costs, how will America fund its future infrastructure?