TechFlow news, May 17 — According to Jinshi Data and India's CNBC18 television, for many Indian families, money sent home by their children in the United States is a vital source of income. But these families may be in for a shock when they see their accounts receiving less money. This is due to a proposed new U.S. tax specifically targeting such remittances. A U.S. bill proposes imposing a 5% tax on money transfers from the United States to other countries. Indians are one of the top three immigrant groups in the U.S., with nearly 2.3 million Indians working in the country through various visa programs. These individuals are among India’s largest sources of remittances. In 2023 alone, they sent back over $23 billion. However, if the new bill passes, the impact won’t be limited to holders of H-1B, F-1 visas, or green cards. For Indians who do not reside in the U.S., the proposed tax would also apply to any income earned in the U.S. through investments or stock options.
