Suspend the gas tax? Here’s a better way.
May 26, 2026
This commentary is by Owen Sheehan, who is a senior at Montpelier High School. He just turned 18 and registered to vote.
In February 2026, President Donald Trump and Israeli Prime Minister Benjamin Netanyahu launched a war against Iran. Three months on, Americans are being crushed at the pump, p
aying around 50% more than before the war. In response, Trump and Gov. Phil Scott have floated suspensions of the federal and state gas taxes.
At first glance, the proposals sound logical. Why not help average working Americans who are suffering from Trump and Netanyahu’s war? Take a closer look, however, and three flaws emerge.
A gas tax suspension would be too small to help Vermont workers. The federal gas tax is 18.4 cents per gallon. Vermont’s excise tax is 12.1 cents. Take 30.5 cents off what you just paid at the pump. Are you better off than you were a year ago? Or three months ago? No, not even close.
But it would be big enough to devastate our roads and bridges. Gas tax rates have been kept below inflation for years. The federal gas tax has been held at 18.4 cents since 1993. If it had been pegged to inflation, it would be at least 33 cents by now. Our underfunded roads and bridges rely on those stagnant gas taxes. They can’t afford a complete suspension without a new source of revenue.
Not all Americans and Vermonters are suffering. Yes, people who work for a living are hurting. Inflation is rising faster than paychecks. Meanwhile, those who invest in oil companies and weapons manufacturers are thriving. According to SP index data, the SP Oil Gas Exploration Index has grown 35% in the last year. The SP Aerospace Defense Index has grown 48%. Yes, oil and weapons investors are living large.
Our national debt has grown by more than $2 trillion since Trump returned to office. Cutting taxes while increasing spending is a recipe for burdening my generation with even more debt. Why not pursue a revenue-neutral plan of offsetting taxes on those who are suffering from Trump and Netanyahu’s war with a commensurate increase on those who benefit from it? How about pairing a windfall profits tax with a suspension of the federal gas tax?
Here in Vermont, the problem isn’t just that our roads and bridges are crumbling and a 12-cent tax cut would only bring today’s average price of unleaded gas from $4.55 to $4.43. It’s also poorly targeted. Consider how many visitors to our state buy gas and thus contribute to our highway fund. If Scott really wanted to help working Vermonters, he could propose a suspension of state payroll taxes, then use a bump in the capital gains tax to backfill the hit to the childcare and unemployment insurance funds.
Whatever we do, let’s remember that wars have victims and profiteers. A fair fiscal policy would account for both.
Speaking of which, maybe we should direct some of the revenue from a windfall tax to the families of the Iranian schoolgirls we killed. As much as my classmates and our families suffer from Trump’s war, at least our school is intact, and our teachers and friends are still alive.
Read the story on VTDigger here: Suspend the gas tax? Here’s a better way..
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