IRS Issues Proposed Regulations on 1 Percent Excise Tax on Certain Remittance Transfers

The IRS issued proposed regulations providing rules and definitions related to the 1 percent excise tax on certain remittance transfers beginning Jan. 1, 2026. The tax applies to remittances sent from the United States to foreign countries when the sender provides cash or similar physical instruments to a remittance transfer provider. The proposed regulations clarify the scope of the tax, define the taxable amount, specify which physical instruments trigger the tax, and include illustrative examples. Public comments are due June 12, 2026. [IR-2026-48, 04/10/26]

This story was produced by Bloomberg Tax Automation, and edited by Bloomberg Tax staff.