This Act may be cited as the Gas Tax Reduction Act.

(a) In general Chapter 1 of title 23, United States Code, is amended by adding at the end the following: 180. Withholding of funds for noncompliance with State gas tax restriction The Secretary shall withhold 8 per centum of the amount required to be apportioned to any State under each of paragraphs (1) and (2) of section 104(b) on the first day of each fiscal year after the first fiscal year beginning after the date of enactment of this section in which the tax for gasoline in such State is equal to or greater than $0.50 per gallon.. (b) Clerical amendment The table of sections for chapter 1 of title 23, United States Code, is amended by adding at the end the following: 180. Withholding of funds for noncompliance with State gas tax restriction..