Posted on 03/05/2006 12:15:18 PM PST by bkwells
MEXICO CITY – Mexican officials are complaining that a bill in Georgia's state legislature to tax the hundreds of millions of dollars that illegal immigrants wire home would unfairly hurt Mexicans working north of the border.
Sponsored by Republican lawmakers who charge that illegal immigrants use basic health and education services without contributing to them, the bill would force anyone unable to prove their legal status to pay tax on their wire transfers.
Mexicans living in the United States sent home about $20 billion to their families last year, more than all the foreign direct investment in the country and a major pillar of Mexico's economy, especially in poor areas.
Similar to a bill in Arizona's legislature, the Georgia measure has passed the state's lower house and is awaiting review in its Senate.
“The recently approved initiative . . . is unjust because it discriminates against people of Hispanic origin in general and Mexicans in particular,” Mexico's Foreign Ministry said.
The Foreign Ministry said it also was following the Arizona bill's progress and could take legal action should either proposal become law.
Finance Minister Francisco Gil slammed the bills last week, and a migrant representative said it was a foolhardy attack on workers he said were helping the economies of both countries.
“Unfortunately, this is a trend,” said Candido Morales, director of an institute for Mexicans living abroad. “Making life difficult for people who aren't legal, but who contribute to both the U.S. and Mexican economies.
While Georgia's bill would only tax illegal immigrants, Arizona's would tax all wire transfers out of the country.
Critics say that the laws would be ineffective, and that migrants would simply ship money home by less secure means.
Supporters of the bills in Georgia and Arizona argue that something must be done to salvage revenue from hundreds of millions of dollars they say slip out of their states untaxed.
“The reality is that a tremendous amount of undocumented illegal immigrants are in this country earing money and not paying any taxes,” said Rep. Calvin Hill, a Georgia Republican who sponsored his state's bill.
“They are utilizing the vast resources of the state but not financially contributing in any way,” said Hill, who estimated $1 billion was leaving the state every year in untaxed remittances from illegal immigrants alone.
Arizona officials said the money could beef up security along its border with Mexico. Hill said it would go into Georgia's indigent health care and education which illegal immigrants often use themselves.
“Now for the first time these people will have an opportunity to partially pay for these services,” Hill said. “This has nothing to do with being against immigrants.”
The Mexican-born population living in the United States is 9.9 million, according to figured cited by the Mexican Embassy in Washington.
Bonjour, Mamzelle!
I do believe you were the first to float this idea on FR nearly a year ago.
Congratulations.
Those "money-changin' stores are popping up like weeds in my county, car wrecks with presumed illegal aliens ( usually can't find out, because they abandon the car and scatter )- are commonplace, and parts of my old Southern town look like Little Tiajuana.
We need to do better. At least Georgia is finally addressing one of the problems. We had to boot the Democrats to do it, remember.
But the plan isn't to single out the illegals - it's for all wire money transfers. So it's a tax on the service as far as I can tell. Unless they plan to ask for citizenship proof and won't tax those people.
You can bet SC, Bama, Tenn will follow. NC won't for a while.
Needs to be for all immigrants, however. If the money leaves, it hurts our economy. Taxes generally hurt, but this is one that'll help.
Let Ga use it to help pay for all the incarcerated aliens.
So, at what point is the distinction between an "illegal" alien and a legal resident made when it comes to money transfers, and who checks on an individual's immigration status at the point of purchase for the money transfer service?
This is a hidden tax on all money transfers being sold as a patriotic move to "punish" illegal aliens.
In the end, everyone transferring money will be taxed.
"Government in not the solution to the problem, government is the problem." -- Ronald Reagan
It's the transfer that's being taxed--just like taxing a hamburger.
Tax'em then send'em home.
OK by me. I wish this was what GA was doing, but maybe it'll happen yet.
In my little town, there are three new tiendas selling "evios dinero"--it'd do my state a lot of good to help pay for incarcerations, ERs, schools, uninsured motor wrecks, etc...
Gee, imagine that.
Screw all you politicians and 'officials' all over the world, I for one am sick of you.
Got that SPOT ON!!!
So, you are in favor of higher taxes for no reason whatsoever then?
Because taxing everyone does nothing to stop your tiendas or the reason why they are there.
Bingo.
Interesting concept; it soould be advanced.
Reminds me of my newly revised tag line. :-)
Shameless self-promotion bump.
VA LA ARENA DE LA LIBRA (sort of) :-)
We have a Republican majority in the Legislature here in Arizona, too.
The reason is revenue.--
What chance of this in the Tar Heel state?
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