Sending money overseas suddenly got more expensive, and plenty of Americans have no idea the change even happened. The IRS’s new 1% remittance tax now applies to certain international money transfers, adding another fee to transactions that millions of families already depend on every month. For households sending support to relatives abroad, even a small percentage can snowball into a serious annual expense.
The tax especially affects cash-based transfers, prepaid cards, money orders, and other financial tools commonly used outside traditional banking systems. Before sending another dollar overseas, Americans need to know exactly which transactions now trigger the extra charge and why the costs may climb faster than expected.
