To amend section 5747.98 and to enact sections 1315.131, 5502.80, and 5747.87 of the Revised Code to levy a transfer fee on money transmissions, to authorize an income tax credit based on the amount of the transfer fees paid, and to name this act Ohio's Withholding Illegal Revenue Entering Drug Markets (WIRED) Act.
Summary
HB149 would impose a 3% transfer fee on money transmission transactions originating from customers in Ohio and require licensees or authorized delegates that transmit money to collect, report, and remit the fee quarterly to the superintendent of financial institutions. The bill also requires itemized disclosure of the fee to customers and directs the state to deposit the revenue into a newly created Withholding Illegal Revenue Entering Drug Markets (WIRED) fund.
The bill creates a refundable Ohio income tax credit for customers who are billed and pay the transfer fee, capped at $300 per taxable year. It also requires the tax commissioner to certify the amount of credits claimed each year, after which the budget director must transfer an equal amount from the WIRED fund to the general revenue fund. The act applies the fee to transactions beginning on the first day of the first month after the effective date and applies the credit to taxable years ending on or after the effective date.
Impact
HB149 would amend Ohio tax and financial-services law by adding a new fee on money transmission services and a corresponding refundable personal income tax credit. It would also create a dedicated state fund and authorize the Department of Public Safety to distribute the collected revenue as grants to law enforcement agencies for human trafficking and drug trafficking investigations and related enforcement. The bill would affect money transmitters, their customers, the superintendent of financial institutions, the tax commissioner, the Department of Public Safety, and local law enforcement agencies.
Sentiment
Based on the bill text and available context, the measure appears to be framed as a public-safety and anti-trafficking initiative, with supporters emphasizing revenue for law enforcement and a tax credit to offset the fee for customers. Because the bill was only introduced and there are no recorded committee transcripts or votes in the provided materials, there is no documented formal debate or vote-based sentiment to assess. The overall presentation suggests a policy intent to target illicit financial flows while limiting the burden on individual customers through the credit.
Contention
The main policy tension is between raising dedicated revenue for law enforcement and imposing a new 3% fee on money transmission transactions, which could affect consumers who rely on remittances or similar services. Another likely point of contention is the bill’s structure: it taxes the transaction at the point of transmission, then offers a refundable credit only up to $300, which may not fully offset costs for all users and may require proof of payment. The bill also centralizes grant distribution through the Department of Public Safety, which could raise questions about allocation fairness, administrative burden, and whether the fee is an appropriate mechanism for funding anti-trafficking and drug enforcement efforts.
To amend sections 3517.12, 3517.13, and 3517.155 of the Revised Code to modify the Campaign Finance Law regarding foreign nationals and statewide initiatives and referenda and to declare an emergency.
To amend sections 3505.01 and 3505.10 of the Revised Code to modify the deadline for a political party to certify its nominees for President and Vice-President to the Secretary of State.
To amend sections 3517.12, 3517.13, and 3517.155 of the Revised Code to modify the Campaign Finance Law regarding foreign nationals and statewide initiatives and referenda and to declare an emergency.
To delay the deadline for a major political party to certify its presidential and vice presidential candidates to the Secretary of State for the 2024 general election.
Modifies collective Statewide transfer agreement and reverse transfer agreement; establishes New Jersey Transfer Ombudsperson within Office of Secretary of Higher Education.
Modifies collective statewide transfer agreement and reverse transfer agreement; establishes New Jersey Transfer Ombudsperson within Office of Secretary of Higher Education.