Starting January 1, 2026, remittance transfer service providers will be required to collect a remittance transfer tax from certain senders, remit the collected taxes twice a month, and file quarterly returns with the Internal Revenue Service (IRS).
The first semi-monthly tax remittance will be due on January 29, 2026.
A 1% remittance transfer tax will apply to certain remittance transactions when the sender makes the transfer using cash, money orders, cashier’s checks, or similar physical instruments.
Reference
For more information, please refer to the provisions of the OBBB Act on the IRS website:
https://www.irs.gov/newsroom/one-big-beautiful-bill-provisions
