It is a surprising fact that is frequently disregarded in discussions about immigration.
Experts estimate that undocumented immigrants pay billions of dollars in federal taxes annually, between tax returns filed and payroll taxes withheld.
This section explains why and how this is occurring.
The National Immigration Law Centre explains why undocumented immigrants pay taxes, including the following:
• It demonstrates compliance with federal tax regulations.
• It can assist them in demonstrating “good moral character” if they have the chance to legalise their immigration status in the future.
• Tax return records could be used to document a person’s work history and presence in the United States, which could help them qualify for legal immigration status in the future if immigration reform is enacted.
Critics of illegal immigration have long maintained that undocumented immigrants who pay taxes do so with stolen Social Security numbers. However, millions of federal tax revenues are paid annually by individuals without Social Security numbers.
Instead, they use an Individual Taxpayer Identification Number (ITIN) when filing.
According to the Bipartisan Policy Centre, a Washington think tank, “most experts believe that the vast majority of tax returns filed with ITINs today are filed by undocumented immigrants.”
Some noncitizens who legally immigrated to the United States also use this method to pay their taxes.
In 2019, more than 2.5 million tax returns were lodged using ITINs, resulting in nearly $6 billion in taxes, according to the IRS.
Officials estimate that in addition to submitting tax returns, undocumented immigrants also contribute billions annually to Social Security through payroll tax deductions. In 2010, the Social Security Administration estimated that payments from unauthorised employees generated approximately $12 billion in Social Security tax revenue.
During tax season in recent years, posts by advocates for immigrant rights on Facebook, Twitter, and TikTok have drawn attention to the issue.
“Undocumented immigrants pay billions of dollars in taxes to fund programmes they can’t access,” the National Immigration Law Centre wrote in a succession of recent social media posts.
In 2017, the post about Belén Sisa’s experience paying taxes went viral.
“Want to tell me again how I should be deported because I contribute nothing and only take advantage of this country while the 1% wealthiest citizens steal from you every day?” Sisa, an Arizona college student at the time, penned this.
Later, the recipient of the Deferred Action for Childhood Arrivals programme told CNN that she felt it was crucial to speak out.
She stated, “I wanted to show people that we’re here, that we’re from all over the world, and that we contribute more than people believe.”
The Pulitzer Prize-winning journalist-turned-activist Jose Antonio Vargas, who has turned his struggles as an undocumented immigrant into a platform for advocacy, took a pause from completing his taxes in 2019 to share his experiences on Twitter.
“Yes,” he wrote, “illegal immigrants contribute to the very systems that detain and deport us.”
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