Tennessee is facing a legal challenge to a bill that adds a $10 fee for monetary wire transfers to another country.
House Bill 2502 also adds a 2% tax to transfers over $500. The state would collect more than $91 million in revenue from the tax during the 2026-27 fiscal year and more than $183 million in subsequent years, according to the bill's fiscal note.
The bill does not apply to bank-to-bank financial institution transactions and military transactions that use payment apps like Zelle, Hixson Republican Bo Watson said during the bill's debate on the Senate floor.
"The largest receiver of these transmissions from the state of Tennessee are in Mexico," Watson said. "This is intended to recoup some state revenue from those transmissions of the over $55 million per year."
