Illegal Immigrants Send $38 Billion Abroad Via Remittances—A “Hidden Tax”

National Economics Editorial ^ | Jan 23, 2017 | Spencer P Morrison

[Thalean]

Imagine the worst possible tax you can think of. What would it look like?

If you’re like most people, you thought of some fat, curly-haired king sitting in a palace spending your money on foppish garments and a harem of French harlots. That’s a bad tax. No doubt about it.

But at least he’s (presumably) your king, and he’s spending the money in your country. Eventually you will see that money again, no matter how frivolously he spends it.

I can think of a worse tax: pretend the above situation’s exactly the same in every respect except now he’s not your king. He’s king of Timbuktu. Even worse. It’s bad enough you’re paying for someone’s pomp and circumstance, but now he’s not even buying the pomp locally—you’ll never see that money again.

[Thalean]

If you've ever traveled through small-ish cities in socal or Arizona you'll get the point. Illegals come in, clean them out, and then move on like locusts. What looked like a "good deal" at the start quickly turns into a disaster for local economics. It's similar to the Walmart-effect in middle America (main streets have been turned into ruins, as economic activity swirls around the suburban supermarket).

[gubamyster]

A Hidden Tax = funding for THE WALL.

[SpaceBar]

Turn off the spigot.

[The Sons of Liberty]

Illegal Immigrants Send $38 Billion Abroad Via Remittances—A “Hidden Tax”

The money sent to mexico and the other countries in south and central America should have a "fee" for money moving out of the US. This is common in other countries and would be an excellent way to fund The Wall.

[Vendome]

K

I clicked on your blog but, the answer to this is tax each transaction then Mexico’s Mexicans will have paid for the wall...

[Governor Dinwiddie]

Ahh, but there is more to it. By paying their health care, child births, EBT, Section 8, and WIC, they don't need that extra money to live on. When Uncle Sam takes care of your basics, well, so much more dollars to send back to Meh-Hee-Coe.

[Leep]

Didnt our overlords declare anyone who touches our soil to be legal citizens?

[LydiaLong]

It seems to me that the easiest way to solve this problem is to address Americans who hire illegals. That’s the source of all the money they’re sending to Mexico. Why can’t we do this?

[ProtectOurFreedom]

What a coinky-dink...the annual $38 billion remittance home just happens to equal the price of the wall. Just divert one year’s remittances and problem solved. The families at home may have a bad year, but let them get help from their Uncle Azúcar in Mexico City.

[editor-surveyor]

.
Simple: Tax the transfer of funds out of the country. FINCEN already has the framework to do it.

Just do it! 25% should cover the cost of the wall rather quickly.
.

[zaxtres]

Didnt our overlords declare anyone who touches our soil to be legal citizens?

---

Per Wikipedia (if you want to believe them):
“Before the 1980s, all refugees from Cuba were welcomed into the United States as political refugees. This changed in the 1990s so that only Cubans who reach U.S. soil were granted refuge status under the “wet foot, dry foot policy”. While representing a tightening of U.S. immigration policy, the wet foot, dry foot policy afforded Cubans a privileged position relative to other immigrants to the U.S.”

[Bob]

Another point to consider — How much of the money being sent was originally paid as under-the-table, i.e. untaxed cash?

[editor-surveyor]

.
The governor of Arizona did exactly that a few years ago, but an Obama Judge blocked it.

[FrankR]

“Remittances” sent abroad should be taxed as if the remitter is the employer, and the recipient is the employee. This includes employer “matching funds”. At least that way the taxes on the money are paid.

[jeannineinsd]

By paying their health care, child births, EBT, Section 8, and WIC, they don't need that extra money to live on.

You are correct.

[ridesthemiles]

Trump placed a 2% fee on such transactions. I guess he can only collect that fee when it involves Western Union or such.

I wish it had been 50%. That would have really helped us & driven them out.

IF anyone doesn’t think Western Union isn’t making a small mint over these transactions, find your local Western Union outlet & go there on a Friday or Saturday & watch the traffic. Especially in the Southwestern states.

[I want the USA back]

How is it a hidden tax? Aside from the harem of French harlots, I don’t see how this is taxing me. OH! you mean that illegal immigrants consume far more in government services than they contribute in taxes! I see, but that’s still not a tax. Yes, it costs us money in higher taxes, but it’s not a tax.

[ridesthemiles]

The laws have been on the books for over 30 years.

I cannot even hire my brother if I don’t fill out an I-9 form.

Companies are blowing it off.

The fine for hiring an illegal—or any person NOT ELIGIBLE to work in the USA is $5000 per worker per day. I kid you not.

[Blogatron]

$38 Billion? It’d be a shame if something happened to it.

[Tennessee Nana]

PING