Federal gas tax holiday: Biden says it will provide ‘a little bit of relief’ – but experts say even that may be a stretch

President Joe Biden called on Congress to suspend the federal gas tax to “bring families just a little bit of relief” as average gasoline prices exceed US$5 a gallon. The tax is 18.4 cents on regular gasoline and 24.4 cents on diesel. Biden’s proposal would rescind both taxes for 90 days.

Several states, such as Maryland and Georgia, have temporarily waived their state gasoline taxes to reduce the burden on consumers.

The Conversation asked four experts, including PURC’s Ted Kury, whether gas tax waivers are an effective way to provide economic relief to U.S. households, what revenue from the federal gas tax is used for and what other impacts these measures could have.

Read the full article online at The Conversation.