This bill, titled the "American Families Gas Tax Relief Act," introduces a temporary suspension of federal fuel taxes. Specifically, it mandates that the federal excise taxes on gasoline (excluding aviation gasoline), diesel fuel, and kerosene, along with the Leaking Underground Storage Tank Trust Fund financing rate, will be set to zero for a period of 120 days following the bill's enactment. The President is granted the authority to extend this tax holiday by an additional 90 days if economic conditions are deemed to merit such an extension. To ensure that critical infrastructure projects are not negatively impacted by this tax reduction, the bill requires the Secretary of the Treasury to transfer equivalent amounts from the general fund to the Highway Trust Fund and the Leaking Underground Storage Tank Trust Fund . This mechanism guarantees the continued solvency and funding of these essential trust funds. Furthermore, Congress explicitly states its policy that the benefits of this tax reduction should be immediately passed on to consumers , and the Secretary of the Treasury is empowered to take actions to enforce this policy, ensuring lower fuel prices for the public.
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Timeline
Introduced in House
Referred to the House Committee on Ways and Means.
Introduced in House
Referred to the House Committee on Ways and Means.
American Families Gas Tax Relief Act
USA119th CongressHR-8795| House
| Updated: 5/13/2026
This bill, titled the "American Families Gas Tax Relief Act," introduces a temporary suspension of federal fuel taxes. Specifically, it mandates that the federal excise taxes on gasoline (excluding aviation gasoline), diesel fuel, and kerosene, along with the Leaking Underground Storage Tank Trust Fund financing rate, will be set to zero for a period of 120 days following the bill's enactment. The President is granted the authority to extend this tax holiday by an additional 90 days if economic conditions are deemed to merit such an extension. To ensure that critical infrastructure projects are not negatively impacted by this tax reduction, the bill requires the Secretary of the Treasury to transfer equivalent amounts from the general fund to the Highway Trust Fund and the Leaking Underground Storage Tank Trust Fund . This mechanism guarantees the continued solvency and funding of these essential trust funds. Furthermore, Congress explicitly states its policy that the benefits of this tax reduction should be immediately passed on to consumers , and the Secretary of the Treasury is empowered to take actions to enforce this policy, ensuring lower fuel prices for the public.