An Announcement Is Coming on a Gas Tax Holiday, for July 4th

In a recent study, 73% of Americans said they were planning to travel this summer, which is up from 53% last year. So people seem to be putting pandemic concerns on the back burner.

 

But now there's a new challenge: Inflation. The average expected cost of a vacation has gone up $300, from $2,400 to $2,700. And the biggest surges are in gas and airfare. But relief COULD be on the way.

Yesterday, President Biden said he's nearing a decision on a gas tax holiday, which would PAUSE federal gas taxes. That could drop gas by about 18.3 cents a gallon, which is . . . a start. An announcement is expected by July 4th.

 

The exact plan hasn't been revealed . . . but it might not be an easy call. For one, gas tax money goes toward addressing internal infrastructure and roads . . . so the money wouldn't be getting to projects that are depending on it at a local level.

 

And it would have to be approved by Congress, which could be a challenge. Some Republicans oppose lowering gas prices, because they feel like it's a political win for them. Senator Rick Scott from Florida recently said that rising gas prices and inflation are "a gold mine for [the Republican Party]." 

 

The White House says they're also working on it from the other end . . . by confronting oil companies, which have been raking in record-setting profits during the price hike. 

 

(CNBC / CNN / Bloomberg / ABC News)


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