Thanks to Harry Reid, illegal aliens will continue to receive IRS refunds – National Immigration Reform | Examiner.com


Harry Reid - Caricature

Harry Reid – Caricature (Photo credit: DonkeyHotey)

Thanks to Harry Reid, illegal aliens will continue to receive IRS refunds – National Immigration Reform | Examiner.com.

By Dave Gibson

 

On Tuesday, Senate Majority Leader Harry Reid (D-NV) blocked a move to bring the Child Tax Credit Integrity Preservation Act (S577) to the floor, and in doing so, assured that those working in this country illegally will continue to receive billions of dollars in tax refunds for children that do not even live in this country.

In 2011, U.S. Treasury Department Inspector General Russell George released a report revealing that the Internal Revenue Service doled out $4.2 billion in refundable tax credits to illegal alien in 2010 alone.

The refunds were given in the form of the so-called ‘earned income child tax credits,’ which are designed to alleviate the tax burden on low income wage earners with children.

The problem has arisen through the use of individual taxpayer identification numbers (ITINs) which many illegal aliens use as they are not authorized to work in the United States and do not have legitimate Social Security numbers.

In fact, the audit showed that 72 percent of tax returns filed by those using taxpayer identification numbers, rather than Social Security numbers claimed the child tax credit.

The report states: “The payment of federal funds through this tax benefit appears to provide an additional incentive for aliens to enter, reside and work in the United States without authorization, which contradicts federal law and policy.”

The Inspector General recommended that the IRS require those claiming the credit to prove that they are actually eligible to work here legally.

However, IRS management claims that they have no legal authority to ask for such proof when processing individual income tax forms.

After it became clear that the Obama administration would not move to close this loophole, the Inspector General asked that Congress take action to do so.

While the House of Representatives has passed legislation to to this end, Reid’s refusal to allow a vote on the measure in the Senate assures the problem will remain for at least another year.

In a press release, Sen. Jeff Sessions (R-AL) who co-sponsored S577, stated: “I’m disappointed that the Majority Leader objected to our effort today to prevent billions in tax credits from being wrongly sent to illegal immigrants claiming they have dependents, many of whom do not live in the US. This should not be a partisan issue: it is wrong for the government to use Americans’ tax dollars to directly subsidize illegality, especially at a time when our nation is spending so much money we don’t have.”

Sessions also pointed out that the $4 billion being given to illegal aliens by way of the tax credit loophole is “roughly the same amount the President proposes to raise annually by instituting the new Warren Buffett Tax.”

So, for now illegal aliens will continue to get billions in tax refunds for not only their own children, but in many cases for their nieces and nephews who still live in Mexico.

Of course, this is not the first time Sen. Reid has used his powerful position to work on behalf of illegal aliens…

One Response to Thanks to Harry Reid, illegal aliens will continue to receive IRS refunds – National Immigration Reform | Examiner.com

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