Why Biden’s Federal Gas Tax Holiday Would Be Bad For America

Why Biden’s Federal Gas Tax Holiday Would Be Bad For America

Biden speaking Tuesday in the Roosevelt room at the White House. Is too much inflation crushing your summer vacation plans? President Joe Biden has a holiday for you — at the gas pump. Biden is set to request from Congress a three-month, emergency relaxation of the federal tax on gasoline. By removing that tax of 18. 4 cents per gallon, and right before the July 4th peak of driving season, Biden hopes to be credited for saving you three or four bucks every time you fill up. It's not a huge savings. The federal gas tax hasn't changed since 1993 and is not indexed for inflation. Still, according to the Congressional Budget Office, it brings in $45 billion a year, which covers nearly all the $47 billion last year in federal highway spending. As Energy Secretary Jennifer Granholm said on CNN, "Part of the challenge with the gas tax, of course, is that it funds the roads." Ultimately, Congress will have to find another pocket to dig in to replace the $10 billion or so in highway funding. The move would essentially do away with a user fee burdening those who drive the most and instead socialize the cost across