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Congress Weighs Gas Tax Holiday—But Drawbacks Might Sink It

TIME·Nik Popli·20 days ago
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Four years ago, as Russia’s invasion of Ukraine sent the price of gas soaring, President Joe Biden called for suspending the federal gas tax. Lawmakers from both parties showed little appetite for the proposal—which would have sacrificed tens of billions in revenue needed for roads and bridges in exchange for minimal savings at the pump.  Now, as gas prices approach nearly the same highs of 2022 amid the Iran War, President Donald Trump is floating an identical proposal. Only this time, there may be more interest on Capitol Hill. “I’m going to,” Trump told reporters on Monday when asked whether he supported suspending the 18.4-cent-per-gallon federal gas tax, adding that prices would eventually “drop like a rock” once the war ends. The debate reflects how sharply the politics of affordability have shifted as the extended closure of the Strait of Hormuz, a shipping corridor central to the world’s oil supply, disrupts global markets.…

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