Biden to call on Congress to approve a 3-month gas tax holiday
President Biden will call on Congress to pass legislation creating a federal tax holiday on gas and diesel fuel for three months, administration officials said.
President Joe Biden on Wednesday will call on Congress to pass legislation creating a federal tax holiday on gas and diesel fuel for three months in an effort to lower prices at the pump, according to senior administration officials.
The pause would trim 18 cents off a gallon of gas and 24 cents for diesel at a time when the summer driving season is getting underway. The legislation would cost an estimated $10 billion, a senior administration official told reporters on a call.
“With our deficit already down by a historic $1.6 trillion this year, the president believes that we can afford to suspend the gas tax to help consumers while using other revenues to make the trust fund whole for the roughly $10 billion cost,” the official said.
Officials said Biden would ask Congress to make the temporary adjustment in a way that doesn't harm the Highway Trust Fund, which gets its revenue from fuel taxes. Many lawmakers, mostly on the Republican side of the aisle, have cited the trust fund as a reason they wouldn't back a gas tax holiday, though some congressional Democrats have also been critical of it.
How federal gas tax holiday could work as Biden considers possibilityJune 21, 202204:14Democrats are facing significant political headwinds just months away from the November midterm elections, as numerous polls show gas prices and inflation are top concerns for voters.
Rating: 5