End Exploitation: Illegal Immigration, Tax Credits, ID Theft, And The Border Crisis

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.

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Utah’s Ignorant Ivory Tower Bubble Class And A French Warning

The Utah League of Cities and Towns (ULCT) recently reported on a meeting that included a discussion with the Governor about the state legislature forcing cities to accommodate high density housing. The ULCT understood Governor Herbert was supportive of the developers position and expected he ULCT to go along with their decision. The ULCT was made aware that they will get no where with the Governor if they bad mouth developers.

To sum: residents will just have to deal with it. I expect nothing less from Governor “Available Jones” and his Salt Lake Chamber of Commerce cohorts.

I guess you can add this to the list of other crap our local ignorant ‘elites’ have dumped on us because they know what’s best for the little people. Many are the same people who blather on about federalism, states’ rights, and that decisions should be made locally. Funny how they forget all about it in their own backyard. No, now centralized planning is A-OK. Besides, they live in areas that won’t have to deal with the congested housing fallout.

Of course, the ULCT isn’t going to fight or do anything about it. Regrettably, the ULCT is intimidated by the Governor and Legislature and won’t stand up for the interests of their citizens who have reservations about high density housing. They generally serve the same interests as the Governor and have shown, time and again, that they prefer to lobby for tax increases and certainly don’t represent taxpayers nor residents. Unfortunately, taxpayers pay almost $2 million/year to fund the useless ULCT to…lobby for more tax increases.

I’m left to wonder where the breaking point will be as the not-so-smart bubble dwelling ‘elites’ keep coming up with burdensome schemes that fail and then pop out their next great idea will fix the last (while neglecting to disclose why a ‘fix’ is needed, of course).

If you look around, you realize that virtually the same people run and/or are on the boards of all the major policy-oriented organizations (e.g. the Utah Foundation) that Gov. Herbert and the media refer to as the “authority” for what the state needs. It’s a monolithic echo chamber where the same elites with virtually the same background group-think their way into new policy recommendations. Recommendations which don’t substantially affect them but do adversely impact the rest of us and they simply don’t realize it in their bubble.

These are the folks that still can’t grasp why Trump is in office and think he simply came out of nowhere. A fluke. A total shock and surprise that they still can’t and won’t accept. They are cloistered in their board meetings, think tanks, and summits and simply miss what is going on the ground outside their clique. If you want to get a feel for the late stage of this process, look at what is going on in France right now with the “Gilet Jaunes”:

France: Understanding the Gilets Jaunes Uprising.

Normally, I include a quote from a linked article. Not this time – read the whole thing (it’s not long) and pay close attention to the “Arrogance & Ignorance : A Toxic Mix” and “Those Who Forget History, Are Condemned to Repeat It” sections. It is a warning I hope they notice and one we should apply to our own lives.

Utah’s Uber Rich Slapping More Burdens On The Great Unwashed

Dave Bateman sums it up well.

Gail Miller received a $22.7M tax credit for her Vivint Arena renovation, much of which would have gone to fund Utah schools. She then took $250K of that to fund the “Our Schools Now” ballot initiative, transferring the cost of school funding to the poorest among us through a gasoline tax. Utah’s uber rich are using ballot initiatives to increase their wealth at the expense of Utah citizens

After the OurSchoolsNow bomb, and the coming Medicaid expansion fiasco Bateman mentions, now the Salt Lake Chamber (of crony capitalists) has their point man Governor Gary “Available Jones” Herbert out touting that he needs to raise the food tax: Gov. Herbert’s office prepares plan to expand sales tax and increase the tax on food:

Gov. Gary Herbert’s office is readying a proposal to expand Utah’s sales tax — potentially to increase the rate on food purchases and to tap into a ballooning service economy.

I’ll let you figure out who is proportionally hardest hit by this tax increase.

Same Gamble: Our Schools Now Proposition 1 And The Mega Millions Lottery

Tomorrow we vote on Questions 1 promote by the Salt Lake Chamber of Commerce’s front group “Our Schools Now”. The initiative will raise the fuel tax which will ripple through the economy (e.g. fuel costs impact the cost of food at the grocery store).

Besides being a bad idea to begin with, especially with the fiscal shell game the Chamber and their political pals plan to use, take a read of this article:

The Mega Millions jackpot (and why you are not being told the truth)

In the middle of the 20th century, when lotteries first started in the U.S., they were sold to states as a way to benefit the American public by providing additional funding for education.

This means that as the jackpots get bigger and people spend more money on lotteries – $223 per year by the average American, in fact – there should be more money in state budgets to spend on education.

But that isn’t happening.

Most state legislatures haven’t been using the lottery money for additional education funding. Instead, they’re using it to fund the basic education budget, and using the money that would normally fund education on other things altogether. As a result, public schools rarely get a budget boost.

With the Chamber’s involvement, I would expect the same here but rather than using lottery money for their shell game, they’ll use the gas tax to fund their other pet projects.

Really, it will be a double shell game: The tax is already a shell game as they use the gas tax money to fund other stuff so they free up money for education but I’m counting on them eventually turning around and using the freed up money for their pet projects instead of education.

Again, please look at my prior post on Question 1 and the prior political game with education money lead to this situation. Don’t fall for the shell game. Like the lottery, it’s a losing gamble but worse – this time you’re gambling with someone else’s money under government force.

Finally, an acquaintance passed an email on to me that also hits the issue:

Please see the attached link of the legislature when they were in the process of passing the “non-binding questions 1” that is on the ballot.

It shows how many of the legislators hold us, the tax paying voters.

http://utahlegislature.granicus.com/MediaPlayer.php?clip_id=22914&meta_id=846895

Please consider how wise it would be to vote for a lifelong gas tax that cannot go directly to schools, it must be gerrymandered to go to education. Future legislatures cannot be held to switch funds around and every legislator I have talked to say it will only be for 1 or 2 years, but we will pay the tax increase for our lifetimes.

Please use wisdom in voting as we all have to live with the consequences.

The same advice should be applied regarding Proposition 3 (Obamacare-lite Medicaid expansion). Proposition 4 should also be opposed (I have no interest in unelected bureaucrats drawing up/manipulating election lines, it’s ripe for corruption; people doing this should be directly responsible to voters).

Illegal Immigration, Govt Mission Creep Claim New Victim: Utah County Law Enforcement

This report is really a two pronged argument against illegal immigration and government creeping outside core functions. Here’s the headline from the Daily Herald:

Utah County Sheriff resigns during commission meeting over funding shortfalls

So what caused the funding shortfall? Read down to the 3rd paragraph:

The Utah County Sheriff’s Office is short on funds by about $800,000 to $1 million, Tracy told Commissioners Ivie and Bill Lee during Tuesday’s commission meeting. Commissioner Greg Graves was not in attendance. That shortage is due, in part, to large medical needs by one patient that Tracy said he couldn’t discuss because of medical privacy laws..

But keep reading…all the way buried in the 15th paragraph:

Ivie said the person whose medical bills had caused the crisis is in the country illegally, and the county is also looking into finding funding from federal partners.

The county clearly needs to address funding shortfalls. Sticking to core government functions would be a start (forget the rec centers, art stuff, among other hobbies). An illegal alien tipping the balance is simply unacceptable. Either way, the Sheriff had enough of the fiscal mess and quit.

This brought to you by the Salt Lake Chamber of Commerce and other associated open-border lobbying groups and special interests demanding government fund their business/hobbies.

Growing Big Government And The Welfare State, Utah Edition: Ballot Question 1 and 3

The Salt Lake Chamber of Commerce loves pushing government intervention and tax schemes, especially if they can benefit by pushing their costs and taxes onto you. This continues.

The chamber started a front group to push the “Our Schools Now” initiative which will raise gas taxes a whopping 18%. The chamber keeps using some tiny increase but it’s woefully deceptive ‘math’ (ironic given this is purportedly for education). Besides the bunk claim, the initiative will essentially muddy the waters on transportation funding as heretofore, the gas tax was reserved for transportation. Basically it will be placing the camel’s nose in the tent.

Worst of all, it will impact family budgets. Unlike a sales or income tax, this is a regressive tax. Families need fuel to get to work, take kids to school, and run basic errands. This will hit mid-to-low income families disproportionately to higher income levels.

Not to mention, this will put a drag on small businesses and the local economy as a whole (the Salt Lake Chamber represents big business, political elite interests, not mom & pops). There’s a reason high fuel/energy costs are always a concern and why people scream when gas pump bills jump – now they want you to give them carte blanche to jump prices.

Finally, as the Libertas Institute points out (read the report), current education funding issues are a consequence of Lane Beatty and his economic elites’ policies foisted on us in the late 90s. There are far better solutions to this than harming families and the Utah economy. Ironically, Lane Beattie is sponsoring the OurSchoolsNow charge for this tax increase…the same guy and group who messed things up totally has the fix now. Sure he does.

On to the next part of the shifting Utah to a welfare state: Medicaid expansion.

Do we really want Obamacare-lite at a local level that caused all sorts of problems in other localities that have expanded Medicaid? The expansion will increase taxes and will cost money resulting in additional raised taxes as cost overruns are realized and just create more drag on family budgets along with an expanded government role in personal health issues. No thanks, I’ll take care of that myself.

Other states that expanded Medicaid have seen cost overruns among other budgeting issues and have found worse health outcomes. Again, Libertas has a good write-up on this worth reading: Common Sense Healthcare Solutions Need More Than Band-Aids.

This should be an absolute nonstarter but people often have trouble turning down “free” government cheese, especially if they aren’t informed. Plus, I understand the Salt Lake Chamber of Commerce supports this too* but don’t have time to confirm/link to such (I recall they have in the past as it pushes business healthcare costs onto taxpayers).

As the adage goes (for both ballot initiatives):

Government: If you think the problems we create are bad, just wait until you see our solutions.

*Addendum: The Salt Lake Chamber did directly support Medicaid expansion as well as indirectly through the United Way. The Chamber likes expansion as it pushes healthcare costs from business onto taxpayers. Click the link and look at the sections on the “Health Systems Tax Force” and the United Way.

Official: The Utah Tax-And-Spend Legislature Raised Your Taxes (Again), Will Use Legal Plunder For Political Cronies

On Wednesday, the Utah Legislature met for a special session to raise your taxes…again. Politicians say that because the State hasn’t collected sales tax from internet purchases, it has “lost” millions in revenue. First off, that isn’t the state’s/government’s money – that money belongs to citizens. It represents a portion of their labor. The government lost nothing to begin with.

You’ll notice that the state is funding things just fine and is not running a deficit. So rather than leaving us alone they’ve used this “government losing millions” to raise taxes and create a windfall for themselves to spend on their pet projects etc. This windfall comes on top of the property tax increase scheme they created earlier this year. In the case of the extra money this time, they’ve decided to dish out your money to their favored businesses (also known as crony capital).

To incentivize those companies, the state has allowed them to keep up to 18 percent of collected sales taxes. That incentive will end once the law requiring companies to collect taxes takes effect in January….However, about $55 million has already been earmarked for a tax break for manufacturers that lawmakers approved…

See, they know much better than you where you should spend your money and will even choose the businesses for you – how kind. I wouldn’t be surprised if the Salt Lake Chamber of Commerce is behind this especially given that Sen. Curt Bramble was the sponsor. The whole thing really embodies Bastiat’s principle of legal plunder.

On the local level, Representative Ray Ward voted for the increase (he loves raising taxes and spending people’s money for his own interests) and Senator Todd Weiler also voted for it. I have no idea why Ray Ward purports to be conservative, he’s not. At very best, he’s a very liberal republican but he should just be honest and run as a Democrat.

Then again, per KUTV’s article, maybe even some Democrats might have a problem with which cronies Ward wants to fund:

“When do we say enough to manufacturers, enough to EnergySolutions, enough to private little tax cut deals to people?” said Sen. Jim Dabakis, a Democrat.

The tax administration requirements will also hit small businesses harder with serious overhead that many have noted will likely harm them and favor big business as they can easily afford the overhead (lower per unit cost):

The requirement to collect sales tax will apply to companies that do at least 200 sales or $100,000 worth of sales in Utah in a year.

Essentially, they’ll provide competitive advantage to big businesses (who afford lobbyists, and entrenched political power players, like the Salt Lake Chamber of Commerce). So government will pick winners and losers.

On the up side, the legislature was apparently shamed into addressing the income tax increase they imposed on middle class families (they knew about it during the general session and ran it anyway). Do note that I’ve heard it was only a partial adjustment so some will still see an increase.