House Republicans want to tax remittances sent by migrants, visa holders to their home countries

WASHINGTON – The life of Israel has been built in an entire elephant in the small western western town of Kagola from the money that his three children send to the home from the United States.

The money of their construction jobs paid the price of a two-storey white house where an elephant now lives-and its children, who are in the United States illegally, will also reside if they are deported. Vail, 53, has invested some money in opening a local food store, which he uses to keep his family standing on his feet.

In small migratory cities such as Cajolá, it is not unusual for the entire economy to be built of transfers, and the money that immigrant workers sent to their countries of origin.

Phil said: “People here do not live with luxury, but they live in transfers,” Phil said.

The Republic of the House of Representatives, in the priority bill for President Donald Trump, has included a 5 % tax on transfer transfers that cover more than 40 million people, including green card holders and non-immigrant visa holders, such as people between H-1B, H-2A and H-2B. American citizens will be exempt.

Trump recently announced that he was subjected to a presidential note to “close transfers” that people in the United States illegally sent. White House and Treasury officials did not respond to requests to comment from the Associated Press on the details of the presidential memorandum offered by Trump as a social position on April 25 and how it would work.

Mexican President Claudia Shinbom has returned to this measure and called on Republican legislators to reconsider it, saying that it would “harm the economy of both countries, and it contradicts the spirit of economic freedom that the US government claims to defend.”

She said at the morning press conference: “The transfers are the fruits of the efforts of those who, through their sincere work, are strengthening not only the Mexican economy but also in the United States, and for this reason we consider this measure arbitrary and unfair.”

Transfer experts, local leaders and former migrants say that a ban or a tax limit on some transfers may harm the societies that depend on them, and prove a burden for American citizens and companies, and from the paradox, which causes more illegal immigration to the United States

The flow of money provides an important economic lifestyle for the inhabitants of poor cities that often have access to jobs or income. Experts say the transfers provide opportunities for people in their homeland, which makes it unlikely to risk deporting to the United States.

“Any measure to reduce transfers will have a negative impact on the American national interest,” said Manuel Orrozco, director of the Immigration, Transfers and Transfers Program in Dialogue between America. “It will have an impact on the homeland.”

Supporters of efforts to target transfers say they are an effective tax on people in the United States illegally and can be a generation of revenue for the US government.

Mark Kricorian, Executive Director of the Center for Immigration Studies, who calls for a reduction in immigration, admits that reducing transfers, prohibiting or imposing taxes will make it more difficult for immigrants in the United States illegally.

“One of the main reasons that people come here is to work and send money to the home,” Kricurian said. “If this is more difficult to do, the coming becomes here.”

Legislation has been proposed to control transfers – through taxes on funds, both international and local – in 18 states in the past few years. Almost all these efforts were voted.

The exception is oklahoma, which in 2009 approved a tax on transfers: $ 5 fee on any wire transfer less than $ 500 and 1 % on any amount exceeding $ 500.

Stephen Yates, who is now an older research colleague at the Heritage Institute, wrote to America’s First Policy Institute that every state must build this policy as a way to combat the impact of illegal immigration.

Trump administrators also supported high -ranking efforts to tighten controls on transfers. Vice President JD Vance, as a member of the Senate in Ohio in 2023, participated in the care of wireless law, which would have imposed 10 % fees on transfers from the United States

The intention of the draft law – which will allow people who can prove their citizenship to restore fees as a refundable tax credit – is “punishing illegal activity, such as drug and human smuggling.” The draft law did not make it outside the committee.

“This legislation is a common solution to take off illegal immigration and reduce the financial strength of the cartals.”

According to the World Bank, the total transfers sent to local countries in 2023 amounted to about $ 656 billion – equivalent to Belgium’s gross domestic product. The money sent by Mexican immigrants to their relatives grew by 7.6 % in 2023 to reach a record number 63.3 billion dollars for this year.

Transfers are also a major factor in the global economy, and they are often sent from American wire services instead of banks and credit federations. India, Mexico and China are the largest beneficiaries of that money, according to the World Bank.

In response to the proposal of the transfers, tax transfers in the new Republican Republican Bill Bill, Orzko said: “Some messengers will find ways to send money differently, through unauthorized channels. Others will send less.”

“Sending less will have an impact on receiving families, which limits the ability to save, and thus may increase the intention of immigration,” said Orrozco, who also works as an older colleague at the Harvard International Development University Center.

In Cajolá, local leaders say the flow of transfers prevented young people from migration because they see the economic opportunities they did not receive. Phil said that losing this life would deal with a devastating blow to families like him and even causing his small businesses.

“There is a lot of fear,” said Phil. “Fear that for the people who live here in Guatemala, there will be no work because companies will disappear.”

He said that his work was already struggling since Trump took office and sales for things like eggs, beans, sugar and more.

“When Donald Trump won, many people stopped sending transfers or began to save money,” he said. “The work has decreased a lot.”