Federal Gas Tax Suspension Would Cost US Billions Each Month

A federal gasoline tax holiday as proposed by President Donald Trump would result in billions of dollars in lost tax revenue each month, independent budget analysts say.

Trump told reporters at the White House on Monday that he’d seek to suspend the federal 18.4 cents a gallon tax on gasoline “until it’s appropriate,” though it’s unclear how much of the cut would reach consumers at the pump. Pausing the tax would require an act of Congress.

The president made the announcement months before midterm elections in November as his Republican Party tries to reassure voters who were already anxious about ...