16 April 2008
But the latest figures available indicate it will amount to billions of dollars in federal income, Social Security and Medicare taxes this year. One rough estimate puts the amount of Social Security taxes alone at around $9 billion per year.
Paycheck withholding collects much of the federal tax from illegal workers, just as it does for legal workers.
The IRS also has been issuing Individual Taxpayer Identification Numbers, or ITINs, for 12 years to foreigners without a Social Security number. It's believed that many workers who seek the ITINs are in the country illegally, and the IRS reported that there were 2.5 million tax returns filed with an ITIN in 2004.
In 2006, then IRS Commission (sic) Mark Everson told Congress that "many illegal aliens, utilizing ITINs, have been reporting tax liability to the tune of almost $50 billion from 1996 to 2003."
Why doesn't the IRS report discrepancies to immigration officials? And why doesn't the IRS require anyone using an ITTN to also show proof they're here legally? They make ordinary citizens jump through hoops getting their taxes done, but clearly hundreds of thousands (if not millions) of illegals don't have any problems doing their taxes. Mark Everson (then IRS Commissioner) spoke to Congress in 2006 about how illegals were good for us.He calculates that illegal immigrants contributed $428 billion dollars to the nation's $13.6 trillion gross domestic product in 2006. That number assumes illegal immigrants are 30 percent less productive than other workers.
Would anybody be surprised to learn that he's always been pro-amnesty for illegal immigrants? From Wiki:
Read the entire Wiki entry for an idea of how good Mr. Everson's judgment is. Then go over to Patterico's and read Deport the Criminals First. Also, DRJ's article from last week has some great info.
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