President Donald Trump expressed his support on Monday for a suspension of the federal gas tax, a move that would ultimately require congressional approval.
The president told reporters that the temporary suspension would be in effect “until it’s appropriate,” but the White House did not provide specific details about the expected timeline for the moratorium.
“It’s a small percentage, but it’s still money,” Trump said in the Oval Office, referring to the government’s 18-cents-a-gallon tax on gasoline.
Gas prices have been climbing in recent weeks, according to reports from AAA, as the war in Iran continues to disrupt the global supply chain for oil. Over the weekend, the president teased a potential relaunch of a short-lived military operation to escort commercial ships through the Strait of Hormuz, a vital waterway for global oil distribution, in an effort to fight high fuel prices.
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Trump’s support for suspending the federal gas tax quickly prompted Republicans in Congress to announce their own efforts to make the president’s initiative a reality. Rep. Anna Paulina Luna and Sen. Josh Hawley both shared plans on Monday to introduce legislation to suspend the tax. Hawley is proposing a suspension of “at least 90 days,” according to a press release.
“My office will be working directly with President Trump to ensure we deliver this win for the American people,” Luna said in a post on X. The congresswoman did not respond to a request for comment.
Senate Majority Leader John Thune has been skeptical of similar gas-tax suspensions in the past — but after Trump’s comments, he appears to be open to the initiative.
“I’ve not in the past, obviously, been a fan of that idea. I know I’ve got some colleagues out there who think it’s a good idea. We’ll hear them out,” Thune said on Monday.
Suspending the gas tax to provide consumers relief amid the ongoing war with Iran is not a new idea: Democrats introduced legislation to suspend the duty in early March, about 10 days after the conflict broke out.
The Gas Prices Relief Act, introduced in both chambers by a group that includes Sens. Mark Kelly and Richard Blumenthal and Rep. Chris Pappas, would suspend the tax until October 1 and require the Treasury to transfer money from the general fund, the government’s primary financial account, to keep key programs financed during the tax holiday.
“Families need help now. @RepChrisPappas and I already have a bill to suspend the gas tax. Let’s get it done,” Kelly wrote in a Monday post on X. It remains unclear if Democrats will be included in Republicans’ legislative efforts or in any potential coordination with President Trump on this issue.
It remains unclear if Democrats will sign onto a Republican-led measure to suspend the federal gas tax. Some in the party are skeptical that the tax holiday will lead to any substantive relief for Americans at the pump.
“With the gas prices climbing so high and so fast, if this war continues, it will eviscerate any suspension of the gas tax and not have solved the problem,” Sen. Adam Schiff told NOTUS before last week’s congressional recess.
Former President Joe Biden also suggested suspending the gas tax in the summer of 2022 as American families faced rising fuel prices during the first few months of the war in Ukraine. Congress did not pass Biden’s proposal, and lawmakers from both parties expressed concerns that the suspension would offer little relief and potentially leave key programs like the Highway Trust Fund under-resourced. A Congressional Research Service study from 2022 noted that the federal tax is actually collected at the terminal or refinery — not during the consumer’s purchase at the gas pump — making it difficult to guarantee that the government passes the savings on to the consumers.
Some states like Georgia, Indiana and Utah have already suspended state gas taxes, but Congress must pass legislation for the federal law to apply to all 50 states. In Georgia, Gov. Brian Kemp signed a bill in March that suspends the state tax until May 19.
“Hardworking Georgians know best how to spend their money, not the government,” Kemp said in a March press release. “That’s why I’m proud to sign these bills and, along with the General Assembly, deliver meaningful tax relief on top of the other measures we’ve taken in recent years.”
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