If they’re using fake papers to work, they’re paying income tax (and payroll tax is paid for them as well) but can’t file for a refund or unemployment insurance payments. They pay into Social Security but won’t be able to collect it (though I think anyone under 50 can probably relate to that).
When they buy things, they pay sales tax like anyone else.
They pay their landlady’s property tax if renting and pay it themselves if not.
Not necessarily. Sales taxes, payroll taxes, and income taxes are all paid by people who are living somewhere while not being an immigrant with a visa or the like.
The IRS normally doesn’t share files with anyone. Don’t you know the old saying? The best way not to get caught as a drug dealer is to file your taxes.
If you look at my other comment, undocumented people in the US contribute over $90B in taxes every year!
How do you mean? The whole point is to encourage people, everyone, to pay taxes. It’s a great system. Taxes enforcement should be truly independent from all other agencies to maximize trust and honesty.
Undocumented immigrants already pay more in taxes while not being eligible for most benefits programs.
This isn’t about a rational solution, it’s racism.
Dumb question but how can someone be undocumented while also being taxed? Wouldn’t being taxed require someone to be documented?
If they’re using fake papers to work, they’re paying income tax (and payroll tax is paid for them as well) but can’t file for a refund or unemployment insurance payments. They pay into Social Security but won’t be able to collect it (though I think anyone under 50 can probably relate to that).
When they buy things, they pay sales tax like anyone else.
They pay their landlady’s property tax if renting and pay it themselves if not.
Makes sense, thank you
Not necessarily. Sales taxes, payroll taxes, and income taxes are all paid by people who are living somewhere while not being an immigrant with a visa or the like.
The IRS issues “Individidual Tax Identification Number” for undocumented immigrants who don’t have a social security number.
https://en.wikipedia.org/wiki/Individual_Taxpayer_Identification_Number
I have to wonder how many would ever use it to file for a tax refund though. Wouldn’t that out them to the government?
The IRS normally doesn’t share files with anyone. Don’t you know the old saying? The best way not to get caught as a drug dealer is to file your taxes.
If you look at my other comment, undocumented people in the US contribute over $90B in taxes every year!
I havent heard that one. That’s rich.
How do you mean? The whole point is to encourage people, everyone, to pay taxes. It’s a great system. Taxes enforcement should be truly independent from all other agencies to maximize trust and honesty.
I just mean that the aphorism about drugs dealers is colorful and amusing. I understand it’s making a real point but it’s also funny.
Fair enough. The same saying often goes for sex workers.
That’s how they ended up catching Al Capone, on tax fraud charges.