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SB 77

International wire transfers; fee on wire transfers imposed; income tax credit for wire transfer fees paid, authorized; Securities Commission and Revenue Department to administer

2025 Regular Session Introduced by April Weaver

SB 77 imposes fees on international wire transfers from Alabama and creates income tax credits to offset them, jointly administered by securities and revenue agencies.

Currently Indefinitely Postponed
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Bill Summary · SB 77

Legislative bill overview

SB 77 proposes imposing a fee on international wire transfers in Alabama and creating an income tax credit to offset those fees for taxpayers. The bill would require the Securities Commission and Revenue Department to jointly administer the program.

Why is this important

This legislation could affect anyone sending money internationally from Alabama, potentially increasing costs for remittances, business payments, and personal transfers abroad. The tax credit mechanism attempts to mitigate the fee's burden but only benefits those with Alabama tax liability, creating unequal impact across residents.

Potential points of contention

  • Regressive impact: The fee disproportionately affects lower-income individuals and immigrants sending remittances, while the tax credit only helps those with sufficient tax liability
  • Economic competitiveness: Adding fees to wire transfers could push financial activity to other states or encourage use of alternative transfer methods, reducing state banking revenue
  • Administrative complexity: Coordinating between two state agencies and tracking wire transfers for tax credit purposes creates implementation challenges and potential compliance costs
  • Constitutional concerns: Questions may arise about state authority to tax interstate/international financial transactions and whether the fee constitutes an unconstitutional burden on interstate commerce

Compiled from official sources — confirm details with the bill’s official record.

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