Latina Lista: Tax Law Professor Shows Research Proving that the Undocumented Don’t Exploit U.S. Economy

“Since the enactment of the Revenue Act of 1913, the federal government has subjected non-U.S. citizens residing in the United States (with or without documents) to income tax in the same manner as U.S. citizens.

Low-income undocumented immigrants pay little or no federal income tax because of the offset against gross income of the standard deduction and personal and dependency exemptions. Their dangerous and underground existence, however, has led some undocumented immigrants to file as married filing separately taxpayers and to pay more federal income tax than they would if they were able to enter this country with their families intact. In addition to federal income tax, unauthorized workers pay Social Security taxes on every dollar of reported wages at 7.65%. Therefore, these poverty-level workers are paying federal income and payroll taxes at a minimum rate of 7.65%.”

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