Stutzman: Indiana Can Pause Gas Tax, Washington Can’t

INDIANAPOLIS –U.S. Rep. Marlin Stutzman said Friday he supports suspending Indiana’s gas tax, but says the federal government doesn’t have the financial room to do the same.
Democrats in Congress have proposed halting the federal gas tax, currently 18.4 cents per gallon, through Oct. 1. In an interview with WISH-TV’s for “All INdiana Politics,” Stutzman, an Indiana Republican, warned the move could put road funding and infrastructure projects at risk. He said he backs Gov. Mike Braun’s decision to pause Indiana’s sales tax on gasoline, which is 17.2 cents per gallon. The order does not impact Indiana’s separate fuel excise tax or diesel fuel.
“Washington doesn’t have a surplus, unlike Indiana,” Stutzman said. “So, I think Gov. Braun has more flexibility because he has his budget in balance.”
Stutzman also weighed in on tensions with Iran, saying he does not believe the conflict will end with Iran still able to block the Strait of Hormuz, a key shipping route for global oil. He said he believes Iran’s leadership may be more willing to negotiate than public statements suggest, and urged attention to actions rather than rhetoric.
He also addressed President Donald Trump’s proposed 2027 budget, which would eliminate the Low Income Home Energy Assistance Program, known as LIHEAP, and community services block grants. The administration says the plan would save about $4 billion.
Federal data shows more than 120,000 Indiana households received heating assistance in the most recent budget year. Stutzman said LIHEAP has largely helped subsidize higher utility costs and argued the focus should be on pressuring utilities to lower rates.