Remittance tax is a tax levied on the amount of money that is transferred between two different countries, and in most cases, it is a remittance that is being transferred by migrants to relatives living in foreign countries. Such taxes can be implemented by the governments to raise revenue or control foreign flow of money. The imposed tax is usually a percentage of the amount transferred and it is paid to financial institutions or money transfer services. As critics insist, remittance taxes have the potential to hurt migrant workers and decrease the support that families in the developing world receive. Nevertheless, its proponents argue that it can assist governments to trace cross-border transactions and raise capital to support national agendas or to develop infrastructure.