Diesel Prices Relief Act of 2026
- Bill Number
- H.R. 8772
- Origin Chamber
- House
- Congress
- 119th Congress, Session 2
- Policy Area
- Taxation
- Status
- Introduced
- Latest Action
- 2026-05-12: Referred to the House Committee on Ways and Means.
- Last Updated
- 2026-06-04T21:15:17Z
AI-Generated Summary
Purpose The legislation aims to temporarily suspend federal excise taxes on diesel fuel to provide relief from high diesel prices.
Key Provisions
- Tax Holiday: From the date of enactment through December 31, 2026, the federal tax rate on diesel fuel (excluding kerosene) under Internal Revenue Code section 4081 is reduced to zero.
- Trust Fund Rate Suspension: The Leaking Underground Storage Tank Trust Fund financing rate does not apply during this period.
- Revenue Transfers: The Treasury Department must transfer equivalent amounts from the general fund to the Highway Trust Fund and the Leaking Underground Storage Tank Trust Fund to offset lost revenue.
- Consumer Benefit Requirement: Congress declares that producers and dealers should pass the tax savings directly to consumers through lower prices, with the Treasury authorized to enforce compliance using existing authorities.
Significant Changes to Existing Law This bill temporarily overrides the standard tax rates in section 4081 of the Internal Revenue Code for diesel fuel, creating a short-term exemption not present in current law. It also establishes a new mechanism for general-fund transfers to maintain funding levels for the affected trust funds.
Potential Impacts
- Government Agencies: The Treasury and IRS would manage enforcement of price pass-through and handle transfers to the trust funds; the Highway Trust Fund and Leaking Underground Storage Tank Trust Fund would receive compensatory payments.
- Citizens: Diesel fuel users, such as truck drivers and businesses, may experience reduced costs if savings are passed along.
- No notable effects on international relations are outlined.
Main Stakeholders Affected
- Consumers and businesses reliant on diesel fuel.
- Transportation motor fuels producers and dealers.
- Federal agencies including the Treasury Department and IRS.
- Highway and environmental trust funds supported by fuel taxes.
Notable Legal, Constitutional, or Political Implications The bill introduces a temporary tax suspension with explicit policy language directing private-sector pricing behavior, which relies on existing Treasury enforcement powers rather than new regulatory authority. It maintains revenue neutrality for designated trust funds through general-fund transfers.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Rep. Vindman, Eugene Simon [D-VA-7]
Cosponsors (1)
Rep. Davis, Donald G. [D-NC-1]
Recent Actions
- 2026-05-12: Referred to the House Committee on Ways and Means.
- 2026-05-12: Introduced in House
- 2026-05-12: Introduced in House
Bill Versions
- Diesel Prices Relief Act of 2026 — issued 2026-05-12 — PDF (4 pages)