Overview

• A 51–49 procedural vote on June 28 approved the Senate’s draft, cutting the rate from the House-approved 3.5% to 1%.
• The 1% levy applies only to remittances sent in cash, money orders, or cashier’s checks; transfers via banks, debit or credit cards, and other institutional channels are exempt.
• The revision is expected to ease costs for millions of immigrant workers, notably the roughly 2.9 million Indians in the U.S. who regularly send money home.
• The remittance tax is part of President Trump’s broader immigration and budget package that includes border security funding and federal program cuts.
• The legislation now proceeds to a conference committee to reconcile Senate and House versions before moving to the president’s desk.