Undocumented immigrants paid almost $100 billion of taxes, underscoring the importance of border policies on the country’s tax collections, according to a new report.

One of the most common arguments for curtailing immigration is the cost borne by the US government. But undocumented immigrants pay more than a quarter, about 26%, of their income in taxes, in line with the median taxpayer, according to a report released Tuesday by the Institute on Taxation and Economic Policy, a left-leaning think tank.

In total, undocumented immigrants paid $96.7 billion, or roughly $9,000 per person, in taxes in 2022, the report shows. While their incomes are usually lower, they’re less likely to claim refunds or earn tax-preferred income.

About one third of the total dollars collected from undocumented immigrants funded programs they’re mostly barred from using, including $26 billion to Social Security and $6 billion to Medicare, the report said.

  • Varyk@sh.itjust.works
    link
    fedilink
    arrow-up
    4
    ·
    5 months ago

    Do you mean that if you submit your illegal status to the IRS, they wouldn’t report you to Homeland security or ice or whatever?

    • JWBananas@lemmy.world
      link
      fedilink
      English
      arrow-up
      6
      ·
      5 months ago

      Correct. The only thing the IRS cares about is whether you have an SSN or an ITIN.

      Picture it: You’re the IRS. You’re basically Santa Claus. You know all.

      Do you tattle? Why?

      Would it get a few people deported? Maybe. Maybe not.

      Would it do anything to solve the systemic issues that result in undocumented immigrants in the first place? Definitely not.

      Would it do anything at all to deter future undocumented immigrants? Not a chance.

      Would it disincentivize undocumented immigrants from paying taxes, reducing the overall revenue you can collect? Absolutely!

      Does this also apply to criminal enterprises and other such persons or groups with secrets? You betcha!

      Would it set a dangerous precedent on the slippery slope into authoritarianism? You tell me!

      • Varyk@sh.itjust.works
        link
        fedilink
        arrow-up
        2
        ·
        5 months ago

        I would wager it’s more about the added revenue than concern over authoritarianism, haha, but that’s very interesting that they don’t report it to homeland security.

        Thanks