Mark Kelly Introduces Bill Suspending Federal Gas Tax Amid Price Surge

Senator Mark Kelly (D-AZ) has introduced legislation to suspend the federal gas tax to counter rising prices resulting from the ongoing conflict with Iran.

The Gas Prices Relief Act suspends the 18.4 cents-per-gallon federal gas tax through October 1, 2026. Other provisions are designed to ensure that consumers receive the benefits of this suspension more directly and requires the Department of the Treasury to transfer funds from the general fund to the Highway Trust Fund and the Leaking Underground Storage Tank Trust Fund to ensure the program remains effective.

"Families across Arizona are dealing with high costs on almost everything, and now gas prices are skyrocketing because Donald Trump started a war with Iran," said Sen. Kelly in a press release. "Arizona families shouldn't pay the price for Donald Trump's bad decisions. Suspending the federal gas tax would help bring prices down and give families some much-needed relief."

Representative Chris Pappas (D-NH), who is introducing the House companion bill, also weighed in on the issue. "As Granite Staters continue to grapple with high costs on groceries, housing, and health care thanks to this administration, the last thing they need is to pay even higher prices at the gas pump as a result of Donald Trump's war in Iran," he commented.

"That is why I'm introducing legislation in the House to suspend the gas tax through October 1, 2026, and provide Americans with badly-needed relief from the historic increase in gas prices we have seen in just the last few days," Rep. Pappas emphasized. "The legislation would also hold oil companies accountable if they refuse to pass these savings along to consumers."

Oil prices declined sharply today after the surge, though they remain relatively high compared to prices before the start of the strikes.

With no consistent answer on when the conflict will end, oil prices will likely remain in flux and hit consumers the hardest if they surge again.