Overview

• The US House Budget Committee narrowly approved the 'One Big Beautiful Bill Act' in a 17-16 vote, advancing it to a full House debate.
• The proposed legislation includes a 5% tax on international money transfers by non-US citizens, including visa and green card holders, with no exemption threshold.
• The tax is projected to reduce remittance flows by up to 15%, with Indian diaspora potentially paying $1.6 billion annually if enacted.
• The bill also seeks to make the 2017 Tax Cuts and Jobs Act permanent, increase the standard deduction, and allocate $46.5 billion for border wall construction and immigration enforcement.
• Immigrant communities and advocacy groups have raised concerns over the economic burden and fairness of taxing already-taxed income sent abroad.