The 1% remittance transfer tax, filed for money transfer providers
If you operate a money services business, money transmitter, or other remittance transfer provider, the One Big Beautiful Bill Act of 2025 added a new 1% federal excise tax on remittance transfers under IRC §4475. You collect it from the sender and remit it on Form 720 — IRS No. 155. EasyFile720 builds the calculation, Schedule A liability tracking, and e-file into one workflow.
- 1% of the transfer amount, collected from the sender
- Reports on Form 720 Part I, IRS No. 155
- Applies to transfers after December 31, 2025
- Semimonthly EFTPS deposits with Schedule A reconciliation
- Provider collects, deposits, and files — the sender pays
Remittance Transfer Tax Calculator
Enter the total taxable remittance transfers you collected for the period. The tax is 1% of the amount transferred.
Estimated 1% Remittance Tax
$0.00
Estimate only · Form 720 Part I, IRS No. 155
From collection to filing, in four steps
IRS No. 155 is a Part I excise tax, so it follows the same semimonthly deposit and quarterly reconciliation mechanics as fuel and air transportation taxes.
Collect at transfer
Add 1% of the transfer amount as tax when the sender initiates a taxable remittance transfer.
Deposit via EFTPS
Deposit the collected tax on the semimonthly schedule that applies to Part I taxes.
Track on Schedule A
Record semimonthly liability on Schedule A so deposits reconcile to the quarterly total.
File Form 720 line 155
Report the quarter's total on Form 720, Part I, and e-file directly to the IRS.
💡 A new tax — guidance is still developing
IRS No. 155 was created by the OBBB Act of 2025 and is effective for transfers after December 31, 2025. Implementing guidance, exemptions, and penalty-relief details are still being published. EasyFile720 tracks IRS releases and updates the workflow as rules are finalized — confirm the current rules for your specific transfer types before relying on any single source.
Remittance provider FAQ
Do money transfer companies have to file Form 720 for the remittance tax?▼
Yes. Under IRC §4475, enacted by the One Big Beautiful Bill Act of 2025, remittance transfer providers must collect a 1% federal excise tax on taxable remittance transfers and remit it to the IRS on Form 720, Part I, IRS No. 155. Money services businesses (MSBs), money transmitters, and similar providers that handle covered transfers are responsible for collecting, depositing, and filing.
What is the remittance transfer tax rate?▼
The tax is 1% of the amount of each taxable remittance transfer. The provider collects it from the sender at the time of the transfer.
When did the remittance transfer tax start?▼
The tax applies to remittance transfers made after December 31, 2025. The first affected Form 720 filings fall on the 2026 quarters.
Are EFTPS deposits required for IRS No. 155?▼
Yes. IRS No. 155 is a Part I tax subject to the semimonthly deposit rules, so collected amounts are generally deposited via EFTPS and reconciled on the quarterly Form 720 with Schedule A. The IRS has signaled good-faith penalty relief for early 2026 periods — confirm current guidance before relying on it.
How does EasyFile720 handle the remittance transfer tax?▼
EasyFile720 includes IRS No. 155 in the Form 720 workflow with auto-calculation (1% × taxable amount), Schedule A semimonthly liability tracking, and IRS-authorized e-file. We track IRS guidance updates and reflect rule changes as they are published.
Ready for the 1% remittance tax?
Built for money transfer providers and MSBs. Auto-calculates IRS No. 155, tracks Schedule A liability, and transmits via IRS-authorized e-file — alongside any other Form 720 excise taxes you owe.