Gas Tax Holiday: Small Relief at Pump, but with a Tradeoff

A proposed suspension of the 18-cent federal gas tax may bring down war-spiked fuel prices, but it raises longer-term questions about how road repairs and transportation projects are funded.

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Gas Tax Holiday: Small Relief at Pump, but with a Tradeoff
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South Durham drivers could see modest savings if President Donald Trump follows through on his plan to suspend the 18-cent federal gas tax, a move he says is intended to cushion consumers from fuel-price spikes tied to the war with Iran.

The immediate effect would likely be limited — reports say suspending the tax would cut prices by roughly 4% — but the proposal carries a longer-term tradeoff, because the federal gas tax helps fund transportation infrastructure and road projects.