President Joe Biden on Wednesday urged lawmakers to suspend federal gasoline and diesel tax for three months to provide families “immediate relief” from record-high prices.
Biden also asked states to temporarily suspend their gas taxes.
“I fully understand that a gas tax holiday alone is not going to fix the problem, but it will provide families some immediate relief, just a little bit of breathing room, as we continue working on bringing down prices for the long haul,” Biden said.
Taxes
At present, gasoline prices nationwide average approximately $5 per gallon, up by $2, or 41%, since Russia invaded Ukraine in February. The federal tax on gas is 18.4 cents a gallon and 24.4 cents a gallon on diesel.
If Biden’s request for a full tax exemption is approved, consumers would end up saving about $ 2.76 on 15 gallons of gas.
Skepticism
But Biden’s call met with skepticism, with lawmakers, even from his Democratic party, suggesting that the request will not be met.
The same idea was floated in 2008 by presidential candidates Hillary Clinton and John McCain, prompting former President Barack Obama to dismiss it as a mere “gimmick”.
“Well, let me tell you, this isn’t an idea designed to get you through the summer, it’s designed to get them through an election,” Obama had said.