I was tipped off to a 2015 KSL article in the comments (thanks Jen). The report is super as it has several illustrations for today: Republicans say Obama giving immigrants ‘amnesty bonuses’
Armed with new Social Security numbers, many of these immigrants who were living in the U.S. illegally will now be able to claim up to four years’ worth of tax credits designed to benefit the working poor. For big families, that’s a maximum of nearly $24,000, as long as they can document their earnings during those years.
Obama has issued executive orders shielding about 4 million immigrants from deportation. Some were brought to the U.S. as children; others are parents of children who are either U.S. citizens or legal residents.
They’re referring to the Earned Income Tax Credit (EITC). It’s something that should sound familiar if you’ve read this blog. It involves illegal aliens not only engaging in identity fraud but tax fraud as well and the IRS basically doesn’t care. To catch up, read the posts on WTHR’s Bob Segall’s outstanding investigative reporting on this issue. Better yet, check out all his reports from the source: WTHR Tax loophole investigation.
Based on the above, it may be possible for one of the illegal aliens who used a fake ID to ‘game the system’ and get a huge EITC for ineligible family members to turn around and file again (thanks to Obama’s unconstitutional amnesty) but under the new social security number they were assigned. Thus, they could double their take of taxpayer funds.
One means that this may be prevented is if the IRS flags their earnings documentation as having already been reported under a different SSN but, given Segall’s findings, that appears unlikely.
Then there’s the identity theft aspect that goes hand-in-hand with illegal immigration:
How does Social Security know when it receives taxes from immigrants who are in the U.S. illegally? There is no foolproof method, Goss said. One way is by tracking reported wages in which the Social Security number does not match the name the agency has on file.
Some of these are clerical errors or unreported name changes, But Goss estimates that a majority of these wages come from immigrants who have made up Social Security numbers or used someone else’s.
The numbers are huge.
It’s well known and well documented that illegal aliens engage in identity theft (along with credit fraud and medical ID theft) and leave plenty of innocent victims in their wake (besides those murdered, drunk/other vehicular deaths, and sexual assault and decades long humanitarian/drug border crisis). Amnesty, HB116 and/or cheap labor proponents like the media, Salt Lake Chamber of Commerce, and Church of Jesus Christ of Latter-Day Saints prefer to ignore it and hope no one notices the one-sided compassion for the perpetrators and blind eye to victims. But so does the Federal Government.
The IRS upper echelon obviously doesn’t care. Even before Obama’s amnesty, Segall found frustrated IRS officials upset at the abuse and blind eye to the identity theft. The Treasury Inspector General wasn’t happy either. With Obama’s amnesty, the “supporting documentation” they provide will clearly, again, indicate earnings via a fraudulent social security number. Fortunately, you can count of IRS chief, Koskinen, to thumb his nose at victims, citizens/legal immigrants, IRS workers and the IG.
The IRS accepts these tax returns without reporting the taxpayers to immigration authorities, IRS Commissioner John Koskinen said. That encourages the workers to pay taxes.
“We don’t enforce the Social Security laws, we don’t enforce the immigration laws,” Koskinen said of his agency. “In fact, the reason illegal immigrants file taxes with us is they know we aren’t sharing that data with anybody. We treat it as taxpayer-protected information.”
The IRS was supposed to finally take action with a rule change but I have no idea if it was ever implemented (Segall’s investigation ends there).
Finally, the article ends with a line that unwittingly exposes and condemns the Chamber of Commerce:
“Let’s not forget that these workers receive the lowest wages for what they contribute to their communities and local economies,” said Ellen Sittenfeld Battistelli, policy analyst at the National Immigration Law Center. “What do we as a nation gain by further impoverishing them?”
This is an admission that points that illegal aliens are getting paid below market rates (thereby likely artificially depressing wages and innovation) and underpaid employees are dependent on these credits. Unscrupulous employers (and the Chamber of Crony Capitalists) are quite happy to have taxpayers subsidize their lust for cheap labor.
This exploitation of various victims needs to end. The wall must be built and it is essential that E-Verify be implemented to turn off the magnet and perverse incentive to hire underpaid, illegal labor for competitive advantage.