Tax Loophole Allowing Illegal Aliens to Defraud Citizens
Feb 27, 2017 16:56:46 GMT -5
Post by avordvet on Feb 27, 2017 16:56:46 GMT -5
ITIN: The Massive Tax Loophole Allowing Illegal Aliens to Defraud American Citizens
By Megan Barth & ExHuntress, February 27, 2017
In 1996, the IRS began issuing a new type of tax identification number, the Individual Tax Identification Number (ITIN). ITINs are assigned to U.S. taxpayers, predominately illegal aliens and their dependents, who are not eligible to obtain a Social Security number. The primary purpose of ITIN’s was to capture the previously untapped source of new federal tax revenue from undocumented workers.
According to the National Immigration Law Center, the most recent information (August 2012) indicated that there had been 21 million ITINs assigned to taxpayers and their dependents by the IRS.
ITINs assigned to illegal alien dependents from Mexico do NOT have to prove that they have ever set foot in the U.S., let alone that they are in the U.S. at the time of application.
Over 9 years and up to 2010, the IRS paid over $14.2 billion of American tax dollars in refunds to illegal aliens, for alleged dependents from whom no identification or residency documents were obtained, and from whom they received $0 in tax revenue.
ITIN is Shovel-Ready Fraud
According to the IRS, ITINs are allegedly issued solely as a means for illegal aliens to pay federal taxes, but in reality they are used by more illegal aliens who actually pay no taxes and who file federal tax returns only to claim tax refunds mainly through the Child Tax Credit (CTC), Additional Child Tax Credit (ACTC), and the Earned Income Tax Credit (EITC), on a retroactive basis (up to 3 years). The Child Tax Credit may allow the filer to reduce their federal income tax by up to $1,000 for each qualifying child. Under ITIN, illegal aliens can claim up to TWENTY children.
According to the IRS, a qualifying child is a son, daughter, stepchild, foster child, brother, sister, stepbrother, stepsister, half-brother, half-sister, or descendant of any of them; for example, a grandchild, niece, or nephew, who was under age 17 at the end of the tax filing year, and who did not provide over half of his or her own support for that year. The child must have lived with the filer more than half of the year with exceptions available, is claimed as a dependent on the filer’s return, does not file a joint return for the year, and is a U.S. citizen, a U.S. national, or a U.S. resident alien.
Yet, while a child is supposed to be a U.S. resident to qualify as a dependent for ACTC, they do not have to prove residency if they are from Mexico or Canada.
canadafreepress.com/article/itin-the-massive-tax-loophole-allowing-illegal-aliens-to-defraud-american-c
By Megan Barth & ExHuntress, February 27, 2017
In 1996, the IRS began issuing a new type of tax identification number, the Individual Tax Identification Number (ITIN). ITINs are assigned to U.S. taxpayers, predominately illegal aliens and their dependents, who are not eligible to obtain a Social Security number. The primary purpose of ITIN’s was to capture the previously untapped source of new federal tax revenue from undocumented workers.
According to the National Immigration Law Center, the most recent information (August 2012) indicated that there had been 21 million ITINs assigned to taxpayers and their dependents by the IRS.
ITINs assigned to illegal alien dependents from Mexico do NOT have to prove that they have ever set foot in the U.S., let alone that they are in the U.S. at the time of application.
Over 9 years and up to 2010, the IRS paid over $14.2 billion of American tax dollars in refunds to illegal aliens, for alleged dependents from whom no identification or residency documents were obtained, and from whom they received $0 in tax revenue.
ITIN is Shovel-Ready Fraud
According to the IRS, ITINs are allegedly issued solely as a means for illegal aliens to pay federal taxes, but in reality they are used by more illegal aliens who actually pay no taxes and who file federal tax returns only to claim tax refunds mainly through the Child Tax Credit (CTC), Additional Child Tax Credit (ACTC), and the Earned Income Tax Credit (EITC), on a retroactive basis (up to 3 years). The Child Tax Credit may allow the filer to reduce their federal income tax by up to $1,000 for each qualifying child. Under ITIN, illegal aliens can claim up to TWENTY children.
According to the IRS, a qualifying child is a son, daughter, stepchild, foster child, brother, sister, stepbrother, stepsister, half-brother, half-sister, or descendant of any of them; for example, a grandchild, niece, or nephew, who was under age 17 at the end of the tax filing year, and who did not provide over half of his or her own support for that year. The child must have lived with the filer more than half of the year with exceptions available, is claimed as a dependent on the filer’s return, does not file a joint return for the year, and is a U.S. citizen, a U.S. national, or a U.S. resident alien.
Yet, while a child is supposed to be a U.S. resident to qualify as a dependent for ACTC, they do not have to prove residency if they are from Mexico or Canada.
canadafreepress.com/article/itin-the-massive-tax-loophole-allowing-illegal-aliens-to-defraud-american-c