DOGE Savings Destination? Suspend the Federal Gas Tax!

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In less than just one month in office, President Trump is putting forward bold and outside the box ideas to get out country back on track. In that vein, here’s another idea worth of consideration: suspending the federal gas tax.

Most common-sense Americans agree that government spending is out control and needs to be cut back. That’s why the Department of Government Efficiency (DOGE) is such a breath of fresh air—cutting reckless spending and bringing a much-needed dose of fiscal responsibility to Washington. But while DOGE has been making strides, according to the latest inflation report, working families are still feeling the pinch of stubbornly high prices. A terrible parting gift from Joe Biden’s failed economic policies.

One of the quickest and most effective ways to provide direct relief to Americans is to suspend the federal gas tax for one year. By doing so, the government would deliver an immediate reduction in fuel costs that working families would feel every time they fill up their tank.

Immediate Relief for Hardworking Americans

Currently, the national average price for gasoline hovers around $3.16 per gallon. Eliminating the federal gas tax—18.4 cents per gallon—would immediately bring prices below $3, something Americans haven’t seen in nearly four years. These savings wouldn’t just be a theoretical exercise in economic policy; for a two-car household buying the average amount of gas, the savings would be over $200 a year. Admittedly, that’s not winning the lottery, but it is money that’s better given to families instead of federal employees.

A Boost for the Economy

Beyond individual savings, suspending the federal gas tax would have broader economic benefits. Suspending the federal diesel tax—currently 24.4 cents per gallon—could provide an even greater economic boost. Since diesel fuels the trucking industry, eliminating this tax would reduce transportation costs across the board. Lower delivery costs mean lower prices on groceries, consumer goods, and other essentials that rely on freight transport.

This ripple effect would be especially important for lower-income families, who bear the brunt of rising prices on everyday necessities. When the cost of transporting goods decreases, those savings will be reflected in the prices at grocery stores and retailers across the country.

Addressing the Revenue Concern

Predictably, critics on the left will argue that suspending the federal gas tax would reduce revenue for infrastructure projects and blow a hole in DC’s budget. However, this claim is disingenuous. The federal gas tax generates roughly $36-40 billion per year. Yet just recently, 60 Minutes aired an exposé revealing that an equivalent amount of money—less than 1% of the federal budget—was dismissed essentially as a rounding error when discussing cuts to United States Agency for International Development (USAID) and other bloated programs.

If $38 billion in wasteful foreign aid is insignificant, then why should it be a catastrophe when the same amount is redirected to the American people? The reality is that Washington always finds ways to spend, and a one-year suspension of the gas tax won’t break the bank. It will, however, provide direct relief at the pump—where working families need it most.

Democrats’ Hypocrisy on Gas Tax Relief

What would make opposition to this proposal even more laughable is that Democrats themselves proposed the same idea in 2022. As gas prices hit record highs before the midterm elections, Democratic senators suddenly championed a gas tax holiday to save their seats. Yet when given the opportunity to pass meaningful relief, Senate Majority Leader Chuck Schumer refused to give the bill a hearing. The bottom line is clear: any Democrat who opposes suspending the federal gas tax today is a hypocrite.

States Should Follow Suit

If local leaders really wanted to provide maximum relief to working families, states should step up and suspend their own gas taxes as well. Depending on the state, this could save drivers anywhere from an additional 9 to 70 cents per gallon. Some states, such as California, charge exorbitant gas taxes that further strain family budgets. State legislatures should recognize this opportunity to provide additional relief and act accordingly.

A Bridge to Trump’s Energy Dominance

DOGE is already doing tremendous work in exposing and cutting government waste, and suspending the federal gas tax is a powerful way to reinforce their efforts. The American people voted for lower prices, and this temporary action would deliver them instantly. It would also serve as a financial bridge from Joe Biden’s economic failures to the energy dominance strategy that President Trump is already pursuing.

Under President Trump’s leadership in his first term, the United States achieved energy independence, leading to stable, affordable fuel prices. Suspending the gas tax now provides immediate relief while paving the way for the long-term benefits of Trump’s pro-energy policies. Americans want lower prices, and Washington has the power to act today.

 

Larry Behrens is an energy expert and the Communications Director for Power The Future. He has appeared on Fox News, ZeroHedge, and NewsMax speaking in defense of American energy workers. You can follow him on X/Twitter @larrybehrens



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