|Posted:||January 19, 2022 01:37 PM|
|From:||Senator Doug Mastriano and Sen. Mario M. Scavello|
|To:||All Senate members|
|Subject:||Enhancing the Property Tax/Rent Rebate Program|
|In the near future, we plan to introduce legislation to generate millions in new revenue for the Property Tax/Rent Rebate program.
Our bill will place a 2% fee on international remittances conducted by a money transfer licensee or agent.
An international remittance is a sum of money that is electronically sent out of the Pennsylvania economy and into the economies of international destinations. They are primarily utilized by illegal immigrants, foreign workers, and non-US citizens to send earnings back to a foreign country. Over $70 billion dollars is transferred from the United States to the economies of recipient countries on an annual basis.
Oklahoma enacted a 1% fee on remittances in 2014. The most recent tax report shows that the fee generated over $13 million in annual revenue for the state.
Because Pennsylvania’s estimated foreign workforce is significantly higher than Oklahoma (590,000 vs. 150,000) and the fact that our fee will be 2%, we can assume that revenue generated from a remittance fee here in PA would result in at least four times as much annual revenue.
The infusion of this annual revenue will be directed to the Property Tax/Rent Rebate program for the purpose of offering additional relief and enhancing the program for future expansion.
Please consider co-sponsoring this important legislation.
Introduced as SB1158