One Big Lie – Scapegoating Immigrants Won’t Fix America’s Problems

By Felicia J. Persaud

News Americas, NEW YORK, NY, Sun. July 20, 2025: Let’s call it what it is: a mess – one big, ugly, scapegoating mess.

Donald Trump’s so-called “One Big Beautiful Act” is neither beautiful nor bold – it’s a calculated attack on immigrants, both legal and undocumented. Tucked inside the bloated budget act is a quiet punch to the gut for millions of hardworking families: a 1% federal tax on international remittances paid with cash, money orders, or cashier’s checks.

That means, starting January 2026, if you send money to support your mom in Jamaica, your cousin in Haiti, or your child in Mexico or anywhere else in the world – you’ll now have to pay Uncle Sam a little extra for the privilege of helping your loved ones survive.

U.S. President Donald Trump in the East Room of the White House July 18, 2025 in Washington, DC. (Photo by Anna Moneymaker/Getty Images)

The remittance tax, once floated as 5%, landed at 1%. But let’s be clear – even 1% will hurt. Especially when migrants already pay high fees to transfer funds – often more than double the global goal of 3%.

This is the first federal remittance tax in U.S. history, and while it applies to all senders, we know exactly who this is meant to target: immigrants.

A War On Immigrant Dignity

The new rule is built on a fantasy – that migrants are some kind of economic drain, when in fact they’re economic engines. Remittances from the U.S. help keep entire families afloat around the world. In 2023 alone, these funds pumped $656 billion into the Global South. That’s triple the amount of official development aid.

So why tax the poorest to fund border walls and detention centers?

Trump’s $170 billion immigration enforcement package isn’t just about walls – it’s a wall of bureaucracy, cruelty, and cost. Under the OBBA, asylum now comes with a $100 fee. The appeal of an immigration judge’s decision will cost you $900. And kids in mixed-status families? Many will lose access to food stamps and health care.

Let’s be blunt: this is about making immigration harder, immigrants poorer, and more punishing.

Four Lies This Law Is Built On

“This Will Stop Migration.”
Wrong. Most people don’t migrate just to send money – they migrate for survival, safety, opportunity. If anything, cutting off remittances may increase migration, not reduce it.

“Migrants Will Self-Deport.”
Also wrong. Migrants with families here, especially children who are U.S. citizens, are not going anywhere – even if they can’t send money. They’ll struggle, but they’ll stay.

“Everyone Will Pay The Tax.”
Not exactly. Many will pivot to informal channels – crypto, hand-carrying cash. etc. That makes transfers harder to trace and more dangerous.

“This Helps The U.S. Economy.”
Barely. The remittance tax is expected to raise $10 billion over 10 years – less than 0.1% of the bloated federal budget. Meanwhile, it punishes working people and slows economic demand.

We’re Losing More Than Dollars

This isn’t just about money. This is about dignity, family, and fairness. It’s about telling children of immigrants that they’re less worthy of health care. It’s about charging a desperate mother to plead for asylum. It’s about detaining kids and labeling it “family unity.”

It’s a mess. One big, calculated, xenophobic mess.

Instead of taxing remittances, why not harness their power? Matching grants, tax-free policies, and community investment programs have proven to multiply their benefits. Yet, this bill chooses punishment over partnership.

The irony? The same migrants this bill targets are the same ones caring for our elderly, building our homes, cleaning our offices, and planting, harvesting and cooking our food.

The “Big Beautiful Bill” may be wrapped in flags and fear, but inside is a cruel, cynical assault on immigrant dignity – and on the American values we claim to defend.

Felicia J. Persaud is the publisher of NewsAmericasNow.com, a daily news outlet focused on positive news about Black immigrant communities from the Caribbean and Latin America.