McCain and Hillary Clinton are proposing federal gas tax holiday break this summer which means MINUS 18.4 cents of gallon gas price with no federal tax.
If the proposal is approved ….doing the math — my car which gives 20 miles per gallon and $4.47 is the gas price for today (June 2’2008) in Chicago, IL === 0.04 Gallons of free gas i.e 0.8 miles free.
Hope they pass this law soon.
I always wondered what components make up a gallon of gas price – Here is the answer for $4.47 (premium unleaded) a gallon of gas for today consists of
3.26 = crude Oil
0.49 = taxes
0.26 = Distribution and Marketing
9.44 = Refining
I didn’t come up with these numbers, CNN gave the % allocations here
If states allow state tax exemptions that would bring the gas price to $4.00.