Trump Proposes Suspending Federal Gas Tax Amid Rising Prices and Iran Tensions

Donald Trump disembarks from Air Force One at Joint Base Andrews on May 3, 2026. | Roberto Schmidt/Getty Images

Welcome to The Logoff: President Donald Trump announced his intention to suspend the federal gas tax as rising tensions with Iran drive gas prices higher. The proposal aims to ease the financial burden on consumers, but its feasibility and effectiveness remain in question.

Can Trump Suspend the Gas Tax Alone?

No, Trump cannot unilaterally suspend the federal gas tax. He unequivocally stated to reporters, “we’re going to take off the gas tax for a period of time.” However, this action requires congressional approval.

Congress may consider the proposal, as Democratic lawmakers have previously introduced legislation to suspend the gas tax, and some Republican members have signaled support. Despite this, the outcome is uncertain: Congress has never passed a gas tax holiday, including when President Joe Biden proposed one in 2022.

Senate Majority Leader John Thune acknowledged the proposal on Monday, stating, “I’ve not in the past obviously been a fan of that idea,” but added that he would hear out senators who supported it.

How Much Would a Gas Tax Holiday Help?

The federal gas tax currently stands at 18.4 cents per gallon. Suspending it would provide some relief, but the impact would be marginal. The average gas price is $4.52 per gallon, up 38.5 cents from a month ago and more than $1.50 since the start of the war with Iran.

Suspending the gas tax would also reduce revenue for the Highway Trust Fund by billions. Additionally, there is no guarantee that consumers would directly benefit, as the tax is not collected at the pump. Some savings could flow to oil companies instead, as noted by The Washington Post.

What About the War in Iran?

The most direct way to ease gas prices would be to end the war in Iran, though the impact would not be immediate. However, Trump rejected an Iranian response to the latest U.S. peace proposal as “TOTALLY UNACCEPTABLE” on Sunday.

Good News: Coffee Is Actually Good for You

In other news, coffee has been found to have significant health benefits. The Logoff’s Bryan Walsh breaks down the science behind coffee’s positive effects in a recent article. Read the full story here with a gift link.

Have a great evening, and we’ll see you back here tomorrow!