economy
Surging U.S. gas prices could erase bigger tax refunds, analysis finds
Updated on: March 19, 2026 / 10:25 AM EDT / CBS News
TL;DR
- Higher U.S. gasoline prices stemming from the Iran war could offset increased tax refunds.
- Stanford economists estimate average households may spend an additional $740 on gas due to rising oil prices.
- This estimate would nearly eliminate the expected average tax refund increase of $748, attributed to the 'One, Big, Beautiful Bill Act'.
- The impact depends on the conflict's duration and the status of the Strait of Hormuz.
- Oil prices spiked amid escalating attacks in the Gulf, with Brent crude reaching nearly $111 a barrel and U.S. benchmark at roughly $99.
- The national average gas price reached $3.88 per gallon, up 96 cents from the previous month.