On May 11, Senator Josh Hawley (R-MO) introduced the Gas Tax Suspension Act, S. 4485, to reduce the tax rate on non-aviation gasoline and diesel fuel to zero. The bill would do so by amending IRC § 4081(a)(2)(A). The move would pause the 18.4-cents-per-gallon tax on gasoline and the 24.4-cents-per-gallon tax on diesel fuel.
Hawley’s bill would suspend the federal gas tax for at least 90 days. It also would give the president authority to extend the suspension for an additional 90 days if “economic conditions” warrant it.
Hawley cites the national average prices for regular gasoline and diesel fuel — over $4.50 per gallon and nearly $5.70 per gallon, respectively — as the reason for his proposal.
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