II 

118TH CONGRESS 

1ST SESSION S. 3516 

To impose a fee on certain remittance transfers to fund border security. 

IN THE SENATE OF THE UNITED STATES 

DECEMBER 14, 2023 

Mr. VANCE introduced the following bill; which was read twice and referred 

to the Committee on Finance 

A BILL 

To impose a fee on certain remittance transfers to fund 

border security. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. REMITTANCE TRANSFER FEE. 

4 (a) IN GENERAL.—Section 920 of the Electronic 

5 Fund Transfer Act (relating to remittance transfers) (15 

6 U.S.C. 1693o–1) is amended— 

7 (1) by redesignating subsection (g) as sub8 section (h); 

9 (2) by inserting after subsection (f) the fol10 lowing: 

11 ‘‘(g) REMITTANCE TRANSFER FEE.— 

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1 ‘‘(1) IN GENERAL.—If the designated recipient 

2 of a remittance transfer is located outside of the 

3 United States, a remittance transfer provider shall 

4 collect from the sender of such remittance transfer 

5 a remittance transfer fee equal to 10 percent of the 

6 United States dollar amount to be transferred. 

7 ‘‘(2) TRANSFER OF FUNDS.—Not later than 90 

8 days after the date of the enactment of this sub9 section, the Secretary of the Treasury, in consulta10 tion with the Bureau and remittance transfer pro11 viders, shall develop and make available a system for 

12 remittance transfer providers to submit the remit13 tance transfer fees collected in accordance with para14 graph (1) to the Secretary for transfer to the Border 

15 Enforcement Trust Fund in accordance with section 

16 3344(b) of title 31, United States Code. 

17 ‘‘(3) PENALTIES.— 

18 ‘‘(A) IN GENERAL.—Whoever, with the in19 tent to evade a remittance transfer fee to be 

20 collected in accordance with this subsection, 

21 and who has knowledge that, at the time of 

22 such remittance transfer, the value of the funds 

23 involved in the transfer will be further trans24 ferred to a recipient located outside of the 

25 United States, requests or facilitates such reVerDate Sep 11 2014 04:50 Dec 30, 2023 Jkt 049200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\S3516.IS S3516
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1 mittance transfer to a recipient located outside 

2 of the United States— 

3 ‘‘(i) shall be subject to a penalty of 

4 not more than the greater of— 

5 ‘‘(I) $500,000; or 

6 ‘‘(II) twice the value of the funds 

7 involved in such remittance transfer; 

8 ‘‘(ii) imprisonment for not more than 

9 20 years; or 

10 ‘‘(iii) both penalties set forth in 

11 clauses (i) and (ii). 

12 ‘‘(B) AIDING OR HARBORING AN INDI13 VIDUAL CONSPIRING TO AVOID THE FEE.—Any 

14 foreign country that, in the joint determination 

15 of the Secretary of Homeland Security, the Sec16 retary of the Treasury, and the Secretary of 

17 State, aids or harbors an individual conspiring 

18 to avoid the fee collected in accordance with 

19 this subsection shall be ineligible, in the discre20 tion of the Secretaries described in this sub21 paragraph— 

22 ‘‘(i) to receive United States foreign 

23 assistance; or 

24 ‘‘(ii) to participate in the visa waiver 

25 program under section 217 of the ImmiVerDate Sep 11 2014 04:50 Dec 30, 2023 Jkt 049200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\S3516.IS S3516
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1 gration and Nationality Act (8 U.S.C. 

2 1187) or any other immigration pro3 gram.’’; and 

4 (3) in subsection (h)(2), as redesignated— 

5 (A) in subparagraph (A), by striking 

6 ‘‘and’’ at the end; 

7 (B) in subparagraph (B), by adding ‘‘and’’ 

8 at the end; and 

9 (C) by adding at the end the following: 

10 ‘‘(C) for purposes of applying the fee re11 quired under subsection (g)(1), does not include 

12 payments for valuable consideration.’’. 

13 (b) REFUNDABLE INCOME TAX CREDIT ALLOWED

14 TO CITIZENS OF THE UNITED STATES FOR REMITTANCE

15 TRANSFER FEES.— 

16 (1) IN GENERAL.—Subpart C of part IV of sub17 chapter A of chapter 1 of the Internal Revenue Code 

18 of 1986 is amended by adding at the end the fol19 lowing: 

20 ‘‘SEC. 36C. REMITTANCE TRANSFER FEES OF UNITED 

21 STATES CITIZENS. 

22 ‘‘In the case of any individual who is a citizen of the 

23 United States, there shall be allowed as a credit against 

24 the tax imposed by this subtitle for any taxable year an 

25 amount equal to the aggregate amount of remittance 

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1 transfer fees paid by such individual under section 920(g) 

2 of the Electronic Fund Transfer Act (15 U.S.C. 1693o– 

3 1(g)) during such taxable year.’’. 

4 (2) CONFORMING AMENDMENTS.— 

5 (A) Section 6211(b)(4)(A) of the Internal 

6 Revenue Code of 1986 is amended by inserting 

7 ‘‘36C,’’ after ‘‘36B,’’. 

8 (B) Section 1324(b)(2l of title 31, 

9 United States Code, is amended by inserting 

10 ‘‘36C,’’ after ‘‘36B,’’. 

11 (C) The table of sections for subpart C of 

12 part IV of subchapter A of chapter 1 of the In13 ternal Revenue Code of 1986 is amended by in14 serting after the item relating to section 36B 

15 the following new item: 

‘‘Sec. 36C. Remittance transfer fees of United States citizens.’’. 

16 (3) EFFECTIVE DATE.—The amendments made 

17 by this subsection shall apply to taxable years end18 ing after the date of the enactment of this Act. 

19 (c) REPORT REGARDING AMOUNT OF REMITTANCE

20 TRANSFERS TO EACH FOREIGN COUNTRY.—The Commis21 sioner of U.S. Customs and Border Protection shall sub22 mit an annual report to the Committee on Banking, Hous23 ing, and Urban Affairs of the Senate, the Committee on 

24 Homeland Security and Governmental Affairs of the Sen25 ate, the Committee on Financial Services of the House of 

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1 Representatives, and the Committee on Homeland Secu2 rity of the House of Representatives that describes the ag3 gregate amount of remittance transfers made to each for4 eign country during the year to which such report relates. 

5 SEC. 2. BORDER ENFORCEMENT TRUST FUND. 

6 (a) ESTABLISHMENT.—Subchapter III of chapter 33 

7 of title 31, United States Code, is amended by adding at 

8 the end the following: 

9 ‘‘§ 3344. Border Enforcement Trust Fund. 

10 ‘‘(a) ESTABLISHMENT OF TRUST FUND.—Not later 

11 than 60 days after the date of the enactment of this sec12 tion, the Secretary of the Treasury shall establish an ac13 count in the Treasury of the United States, which shall 

14 be known as the ‘Border Enforcement Trust Fund’ (re15 ferred to in this section as the ‘Trust Fund’). 

16 ‘‘(b) TRANSFERS TO TRUST FUND.— 

17 ‘‘(1) IN GENERAL.—There shall be deposited 

18 into the Trust Fund, from amounts collected as re19 mittance transfer fees under section 920(g) of the 

20 Electronic Fund Transfer Act (15 U.S.C. 1693o– 

21 1(g)), an amount equal to the difference between— 

22 ‘‘(A) the amount of such remittance trans23 fer fees collected after the establishment of the 

24 Trust Fund; and 

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1 ‘‘(B) the amount of credits allowed under 

2 section 36C of the Internal Revenue Code of 

3 1986 with respect to such remittance transfer 

4 fees. 

5 ‘‘(2) TIMING AND ESTIMATES.—Amounts de6 scribed in paragraph (1) shall be deposited into the 

7 Trust Fund by the Secretary of the Treasury at 

8 least monthly from the general fund of the Treasury 

9 on the basis of estimates made by the Secretary of 

10 the Treasury. Proper adjustments shall be made in 

11 amounts subsequently transferred to the extent prior 

12 estimates were in excess of, or less than, the 

13 amounts required to be deposited pursuant to this 

14 subsection. 

15 ‘‘(c) EXPENDITURES FROM TRUST FUND.—Amounts 

16 in the Trust Fund may only be used, consistent with ap17 propriation Acts— 

18 ‘‘(1) to employ and train additional U.S. Bor19 der Patrol agents; 

20 ‘‘(2) to employ and train officers and support 

21 staff employed in enforcement and removal oper22 ations of U.S. Immigration and Customs Enforce23 ment; 

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1 ‘‘(3) to plan, design, construct, improve, or 

2 maintain barriers along the international border be3 tween the United States and Mexico; and 

4 ‘‘(4) to plan, design, construct, improve, or 

5 maintain detention facilities for aliens residing in 

6 the United States without lawful immigration sta7 tus.’’. 

8 (b) CLERICAL AMENDMENT.—The chapter analysis 

9 for chapter 33 of title 31, United States Code, is amended 

10 by inserting at the end the following: 

‘‘3344. Border Enforcement Trust Fund.’’. 

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