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Andy Harris proposes temporary pause in federal fuel taxes

The Maryland congressman’s proposal would suspend federal gasoline and diesel taxes through the end of the year.

Andy Harris proposes temporary pause in federal fuel taxes

Key takeaways

  • Federal gasoline tax is 18.4 cents per gallon
  • Federal diesel tax is 24.4 cents per gallon
  • The proposed suspension would last through year’s end
  • Fuel sellers would be directed to pass along the reduction
  • Congress and the president must act before it takes effect

What Harris is proposing

Republican U.S. Rep. Andy Harris of Maryland has proposed suspending federal taxes on gasoline and diesel fuel through the end of the year as drivers face higher pump prices.

The federal government taxes gasoline at 18.4 cents per gallon and diesel at 24.4 cents per gallon. Harris said pausing those taxes would help families, small businesses and truck drivers who transport goods across the country.

The measure also directs fuel producers and dealers to lower their prices to reflect the tax reduction. It calls for penalties when companies do not pass those savings to consumers.

Costs for Maryland drivers

Drivers interviewed by FOX45 News described current gasoline prices as unusually high and said even a modest reduction would help with household expenses.

The proposal addresses only federal fuel taxes. Maryland drivers also pay recurring costs associated with owning a vehicle. An Insurify analysis estimated that those costs average annually in Maryland, the second-highest amount among the states, behind Georgia.

What happens next

The tax suspension is not in effect. The legislation must move through Congress and then be signed into law before the federal taxes can be paused.

The proposal’s enforcement provisions will also matter as lawmakers consider it. Those provisions are intended to make sure the reduction reaches drivers at the pump rather than remaining with fuel producers or dealers. Harris’ congressional office directs readers to its website for the proposed bill’s full text.

What to watch

  • Whether the proposal advances through Congress
  • Whether lawmakers change the suspension period
  • How the consumer-savings requirement would be enforced

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