June 25, 2024 12:32 am
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Pumping Up the Gas Expenses

Credit: iStock

Mohamed Bughrara

President Joe Biden advocated in June for a three-month suspension of the federal 18.3 cent per gallon gasoline tax in the hopes that the other states would do the same by suspending their respective fuel taxes.

As public concern about rising gas prices and inflation continues to grow, President Biden asked Congress to suspend federal gasoline and diesel taxes for three months on June 22nd. This measure is intended to reduce financial strains at the pump. According to the White House, the President will also urge the states to suspend their own gas taxes or offer a comparable reprieve.

The federal gas tax of 18.4 cents per gallon and the federal diesel tax of 24.4 cents per gallon are in contention. At a time when countrywide gas costs are averaging around $5 per gallon, people would save about 3.6 percent at the pump if the gas savings were fully passed through to consumers.

However, it’s uncertain if Biden would be able to get such a proposal through Congress, where numerous members have voiced opposition. Despite many economists themselves thinking that a gas tax holiday makes sense.

Even though President Biden recommended states take into account the tax cut as retail fuel prices manage to linger close to record highs, motorists in Nevada shouldn’t hold their breath in anticipation of a gas tax holiday.

The Office of Governor Sisolak has yet to provide a statement on whether the removal of the state gas tax was an option in Nevada.