Country
Central America
How decisions made in one place reach Central America, and how Central America's own decisions travel.
America taxed sending money home. The money kept coming.
A tax meant to slow transfers arrived alongside record ones. What happened, and who ends up paying.
The US remittance tax charges 1% on cash, and nothing on cards
Since 1 January 2026, people who send money abroad from the United States with cash or money orders pay a 1% federal tax. Transfers from bank accounts and US cards pay nothing.