Treasury, IRS Propose Rules for 1 Percent Remittance Tax on Some Money Sent to Foreign Countries

The Internal Revenue Service and the Department of the Treasury proposed regulations on Friday regarding the new excise tax, established under the One Big Beautiful Bill Act, on certain remittances made abroad.

“Beginning Jan. 1, 2026, a 1 percent remittance transfer tax applies to remittances sent from the United States to recipients in foreign countries when the sender provides cash, a money order, a cashier’s check, or other similar physical instrument to the remittance transfer provider,” the IRS said in an April 10 statement.