Authority to temporarily suspend the gas tax during certain national emergencies

(a) In general Section 4081 of the Internal Revenue Code of 1986 is amended by adding at the end the following new subsection: (f) Authority to temporarily suspend certain taxes during national emergencies (1) In general In the case of any taxable fuel removed, entered, or sold during a national emergency gas tax suspension period— (A) the rate of tax under clauses (i) and (iii) of subsection (a)(2)(A) shall be zero, and (B) the Leaking Underground Storage Tank Trust Fund financing rate under subsection (a)(2)(B) shall not apply to taxable fuel to which the rate under subparagraph (A) applies. (2) National emergency gas tax suspension period For purposes of this subsection— (A) In general The term national emergency gas tax suspension period means the 60-day period beginning on the date specified in the Presidential declaration described in subparagraph (C). (B) Extension Subparagraph (A) shall be applied by substituting 120-day period for 60-day period if the President, not later than 15 days before the expiration of the 60-day period referred to in subparagraph (A), transmits to Congress a written notification that the President has determined that an extension of the period under this subparagraph is warranted by reason of the continuation of the national emergency described in subparagraph (C). (C) Presidential declaration If the President determines that there exists a national emergency which is causing, or threatens to cause, a substantial disruption in the supply or availability of taxable fuel, or a substantial increase in the price of taxable fuel, in the United States, the President may issue a declaration identifying such national emergency and specifying the date on which a national emergency gas tax suspension period (as defined in subparagraph (A)) begins. (D) Limitation Not more than 1 national emergency gas tax suspension period shall be taken into account under this subsection with respect to any single national emergency. (3) Transfers to trust funds (A) In general The Secretary shall transfer from the general fund to the Highway Trust Fund established under section 9503(a) and the Leaking Underground Storage Tank Trust Fund established under section 9508(a) amounts equal to the reduction in amounts credited (but for this subsection) to each such Trust Fund by reason of subsection (a). (B) Leaking Underground Storage Tank Trust Fund Amounts transferred to the Leaking Underground Storage Tank Trust Fund under subparagraph (A) shall be treated for purposes of sections 9503(b)(1) and 9508(b)(2) as taxes received in the Treasury under section 4081 attributable to the Leaking Underground Storage Tank Trust Fund financing rate. (C) Highway Trust Fund Amounts transferred to the Highway Trust Fund under subparagraph (A) shall be treated for purposes of section 9503(b)(1) as taxes received in the Treasury under section 4081 which are not attributable to the Leaking Underground Storage Tank Trust Fund financing rate. (4) Termination Paragraph (1) shall not apply to any taxable fuel removed, entered, or sold after December 31, 2028.. (b) Effective date The amendments made by this section shall apply to fuel removed, entered, or sold after the date of the enactment of this Act.