Recently, President Donald Trump mentioned to CBS News that he is considering pausing the federal gas tax in light of rising gas prices caused by the war in Iran. A new blog post by Adam Michel, director of tax policy studies at the Cato Institute, argues that a temporary pause would be a missed opportunity, writing in part:

Congress will have to pass a highway bill reauthorization before September 30, 2026. It should use that opportunity to permanently repeal the gas tax. A federal gas tax repeal would permanently lower prices and be a genuine step toward decentralizing government power. A temporary holiday is just a political gesture.

To speak with Adam Michel on the federal gas tax, contact Cato PR at pr@​cato.​org.