Murkowski Releases New CRS Report Putting Obama’s $319 Billion Tax in Perspective
Washington, D.C. – U.S. Sen. Lisa Murkowski, R-Alaska, today released a new report by the Congressional Research Service (CRS) summarizing historical increases in the federal gasoline excise tax rate, currently set at 18.4 cents per gallon. Analysts estimate that the President’s proposed $10.25-per-barrel oil tax or “fee” would raise gasoline prices by between 20 and 25 cents per gallon.
“The resulting price increase is greater than the current federal tax on gasoline,” Murkowski said. “The administration’s proposal is internally inconsistent and ambiguous, but if it was translated into an excise tax, it would be the largest increase in history.”
An earlier CRS analysis of that proposal concluded the plan would likely lower economic growth and raise costs to consumers. A second CRS report assessed that raising the cost of the fee from $10.00, as originally floated by the President’s key advisors, to $10.25, which was the actual number in the budget request, raised anticipated costs by approximately $8 billion to $319 billion total. A third CRS report outlined a list of significant unanswered questions and ambiguities in the proposal.