Saturday saw Talarico and Paxton square off at a gas station in Carrollton, with the war in Iran and the federal gas tax serving as the central points of contention. Each candidate accused the other of letting their stance on the conflict push fuel prices upward.
Democratic State Representative James Talarico asked his Republican rival to condemn the continuing Iran conflict and back his effort to put a hold on federal gas and diesel taxes. Shortly after, Attorney General Ken Paxton answered by stating he backs doing away with the gas tax entirely. Both men share the same view of the issue at hand, yet they differ greatly over how to fix it — and over the war itself.
Talarico’s Opening Pitch
In April, Talarico first pushed for a gas tax pause. He argued that the government should hold off on taxing people at the pump until prices dropped below where they stood when the war started in February. That’s when the U.S. and Israel struck Iran together.
Talarico has repeatedly asked Paxton to back his demand since then. During the Carrollton gathering, he repeated the appeal, describing the war as a catastrophe that is worsening conditions for Texans.
He argued that the cost of fuel is worsening an already serious affordability problem in the state. He also described the war itself as “a disaster.”.
“Ken Paxton supports this disastrous war in Iran that’s driving up our costs,” Talarico said. “Today, I am calling on him to oppose this war and support my plan to suspend the federal gas tax and the federal diesel tax so we can provide Texans some necessary relief.”
According to AAA, the average cost of regular gas in Texas stands at $3.94 per gallon, while a gallon of diesel costs $5.90. Both prices are above what they were just a month ago, and both fuels have climbed sharply since last year — 69 percent higher for gas and 53 percent for diesel.
Paxton’s Counteroffer
Paxton spoke up hours after Talarico did, arguing that the gas tax should be permanently ended.
“In fact, I believe we should suspend it permanently,” Paxton said. “Repealing those taxes would put money straight back into drivers’ pockets every time they fill up, and Washington should fund roads by cutting waste, not by taxing Texans at the pump.”
Talarico’s push to end the war in Iran went unmentioned by Paxton, who chose instead to center his remarks on the tax. Paxton argued that the federal government should look elsewhere to fund roads rather than asking drivers to pay at the pump.
The federal government charges 18.4 cents on every gallon of gasoline and 24.4 cents on every gallon of diesel fuel as a tax. Almost all of the money collected through these taxes goes into the Highway Trust Fund. That fund pays for federal highway and mass transit spending, along with capital projects such as building and maintaining roads and bridges.
The Hypocrisy Charge
Talarico was charged with hypocrisy by Paxton, who said his rival has backed anti-oil and gas industry policies.
Talarico demanded an explanation, and the attorney general responded by making the charge without specifying which policies he meant or describing how those policies connect to the present tax disagreement.
Neither candidate touched on the larger economic picture during their remarks, though rising fuel prices have already cut into what households can spend freely.
The War Debate
While running for office, Paxton has stated that he lacks current intelligence on the war, yet he backs the president and insists that a nuclear Iran would be untenable.
“He said that he thought, or he was told, that Iran was a few days away or a few weeks away from developing a nuclear weapon,” Paxton said in an interview with Bloomberg at the Republican midterm convention in Dallas earlier this month.
“That we couldn’t allow. So I understand. Would I have preferred it later, after the midterm elections, getting through it, and deal with them later? Yes. But the reality is, it sounds like he didn’t have a choice if he wanted to protect the country from an Iran with nuclear weapons,” he said.
The History of Gas Tax Holidays
Since the Highway Trust Fund was set up in 1956, politicians have repeatedly pushed for a gas tax holiday. The tax itself came into existence during the 1930s and has been increased on multiple occasions since, with the most recent rise taking place in 1993.
While the pandemic was still going on, representatives put forward measures that would suspend the federal fuel tax so that motorists could save money at the pump. Every one of those attempts failed to pass into law.
Congress has never enacted a gas tax holiday.
The Numbers
- The federal gas tax is 18.4 cents per gallon of gas and 24.4 cents per gallon of diesel.
- The average gas price in Texas is $3.94 per gallon for regular gas and $5.90 for a gallon of diesel, according to AAA.
- Gas prices are 69 percent higher than one year ago; diesel is 53 percent higher.
- The Highway Trust Fund receives the vast majority of gas tax revenue and funds federal highway and mass transit spending.
| Event | Location | Who Spoke | Key Claim |
|---|---|---|---|
| Talarico’s call for a gas tax pause | April | Talarico | Suspend taxes until prices fall below pre-war levels |
| Talarico’s campaign event | Carrollton | Talarico | Call on Paxton to oppose the war and support his plan |
| Paxton’s counteroffer | — | Paxton | Support suspending the gas tax permanently |
| Paxton’s interview with Bloomberg | Dallas | Paxton | Iran is a few days or weeks from a nuclear weapon |
The Plans Compared
Talarico is pushing for the federal gas and diesel taxes to be put on hold until prices drop back to where they stood when the war started. Paxton, meanwhile, argues for ending those taxes entirely and covering road funding through savings from cuts in government spending instead of charging drivers.
The key difference is the duration of the relief. Talarico’s plan is temporary; Paxton’s is structural.
The two candidates offer distinctly separate focuses for voter attention: one wants the war halted, while the other aims to remove the tax. The choice between them rests on which issue matters most to the electorate.
Where the paper stands
The paper backs Talarico’s call for a direct say over where tax money goes and is against Paxton’s proposal to do away with the gas tax without giving taxpayers a vote on where that revenue would otherwise fund. It is against money vanishing into a budget nobody voted on line by line, and for any plan that gives taxpayers real control over where it goes.
The paper’s position on taxes holds that citizens should get a far more direct say in where that money goes than today’s system gives them. Paxton’s counteroffer does nothing to address that standard — it simply takes the tax away and leaves the question of how roads are funded hanging in the air. Talarico’s plan, by contrast, asks only for a pause tied to a specific price point, with the question of where the money would go remaining open until voters weigh in.
Readers should watch for whether either candidate returns to the question of how Texas would fund its roads if the federal tax were gone for good — a question Paxton raised but left unanswered in his own remarks. The paper will continue to track both campaigns on this issue as the race moves forward.
Source material: “Paxton, Talarico spar over gas tax suspension amid rising prices,” Houston Public Media.
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