Millions of illegal immigrants are getting a bigger tax refund than you. A massive tax loophole is providing billions of dollars in tax credits to undocumented workers and, in many cases, people who have never stepped foot in the United States. And you are paying for it!
How it works
The Internal Revenue Service says everyone who is employed in the United States – even those who are working here illegally – must report income and pay taxes. Of course, undocumented workers are not supposed to have a social security number. So for them to pay taxes, the IRS created what’s called an ITIN, an individual taxpayer identification number. A 9-digit ITIN number issued by the IRS provides both resident and nonresident aliens with a unique identification number that allows them to file tax returns.
While that may have seemed like a good idea, it’s now backfiring in a big way.
Each spring, at tax preparation offices all across the nation, many illegal immigrants are now eagerly filing tax returns to take advantage of a tax loophole, using their ITIN numbers to get huge refunds from the IRS.
The loophole is called the Additional Child Tax Credit. It’s a fully-refundable credit of up to $1000 per child, and it’s meant to help working families who have children living at home.
Investigators have found many undocumented workers are claiming the tax credit for kids who live in Mexico – lots of kids in Mexico.
“We’ve seen sometimes 10 or 12 dependents, most times nieces and nephews, on these tax forms,” the whistleblower told Eyewitness News. “The more you put on there, the more you get back.” 13-News Investigates
“Rather than asking millionaires to pay their fair share, they want to raise taxes on those who can least afford it—by blocking taxpayers who use the Individual Taxpayer Identification Number (ITIN) from receiving the Child Tax Credit. If this policy is enacted, more than four million Latino children and their families would face greater hunger, poverty, and other severe hardships, with negative consequences for the economy today and for years to come.” –NCLR
Big Government knows all about the ongoing looting spree.
One of the workers, who was interviewed at his home in southern Indiana, admitted his address was used this year to file tax returns by four other undocumented workers who don’t even live there. Those four workers claimed 20 children live inside the one residence and, as a result, the IRS sent the illegal immigrants tax refunds totaling $29,608.
13 Investigates saw only one little girl who lives at that address (a small mobile home). We wondered about the 20 kids claimed as tax deductions?
“They don’t live here,” said the undocumented worker. “The other kids are in their country of origin, which is Mexico.”
He later explained none of the 20 children have ever visited the United States – let alone lived here.
So why should undocumented workers receive tax credits for children living in a foreign country, which is a violation of IRS tax rules?
“If the opportunity is there and they can give it to me, why not take advantage of it?” the worker said. 13-News Investigates
Last year, the inspector general released a new report showing the problem now costs American tax payers more than $4.2 billion.
However, since the main purpose of our federal government is to inflict “social justice” by stealing wealth from those who create it to give to those who have no right to it, the IRS is making no discernible effort to stop this insanity. The money will continue to gush as if from a shattered water main until the impending Cloward-Piven collapse brings the sick farce liberals are making of America to an end.
The American Third Position party would do away with the current tax code and abolish the IRS. This system should have been scrapped decades ago and replaced with a simple and modest flat consumption (sales) tax.