And those working on the books probably qualify for the EITC. The fact is that we have no idea how many illegals are in this country and how many of them are paying taxes. They are working illegally and most are part of the underground economy.
The WSJ is out to lunch on this one, they are wrong, it is less than 50% who have their income tax withheld not more than 50%. The WSJ uses the faulty number of only 8 million illegals, which we know is not true, so their numbers are hedged. The audacity to cite that 50% pay income tax is just over to top!
Plus, your right the remaining who do have taxes withheld lie about their dependents and are eligible to not only be void of any liability but actually receive funds in child credits!
They say they say the can’t make millions of people follow the law , and if we complain we are racists, or it would be un Christan to have any laws, yet over 90% of Americans pay all their taxes at the force of a gun, and that is justified!
Then the underground economy is not even being looked at when it comes to the lost taxes. Over 50% of the Mexican nationals living in the US are not on the books, while the rest of us work legitimately and do pay.
“Illegal immigrants hold about 12 million to 15 million jobs in the United States, or about 8 percent, meaning the government may be foregoing $35 billion a year in income tax collections” Bob Justich senior managing director for Bear Stearns,
The Milken Institute has released a study called the “Los Angeles Economy Project”, which reports that nearly 680,000 workers in the Los Angeles region alone work in the underground, cash-only economy. Needless to say, most of those involved are illegal aliens. And, this situation costs the cities, counties, and feds two billion dollars in lost revenues.
The underground economy is undermining the effectiveness of the Internal Revenue Service, which is highly dependent on employees’ withholding taxes. If the IRS could collect all the taxes it says that it is owed from the underground economy in a given year, then the current budget deficit would disappear overnight.