Illegal Aliens Cash in on Tax Reform



As debate rages over who gains and who loses under “tax reform,” there’s one undisputed winner: illegal aliens.

Congress had a golden opportunity to save billions of dollars by enforcing the law and denying child tax credits to illegal immigrants. Instead, lawmakers stretched the law and raised the payout.

The Republican tax package agreed upon by the House and Senate gives the tax credit to illegals with American citizen children (a.k.a. anchor babies). The final GOP tax bill doubled the credit from $1,000 to $2,000 per child and increases the refundable credit to $1,400 per child. The latter is received even if no taxes are paid. Such are the perks of birthright citizenship.

That wasn’t the plan when Congress created the child tax credit. But the IRS has been flouting congressional intent by issuing child tax credit refunds to people without Social Security numbers. Now Congress has bowed to that administrative fiat.

A 2010 federal audit valued tax credits to illegals at $4.2 billion annually. If the law had been enforced as written, with Social Security numbers required, Uncle Sam would have saved more than $40 billion over the past decade.

Instead of fixing the problem, Congress just dug a deeper hole, with no safeguards against fraudsters who loot the program.

In one egregious case, the IRS sent more than $7.2 million in tax-credit refunds to a Virginia woman who filed 1,700 tax returns with stolen identifications used by illegal immigrants, mainly from Mexico.

Lawmakers could have reasserted their original intent: that only U.S. citizens and legal U.S. residents are eligible for the tax break. Alas, common sense and sound public policy rarely survive the backroom deal-cutting that drives year-end sausage-making on Capitol Hill.

American taxpayers may or may not like their new tax schedules, but illegal aliens are laughing all the way to the bank.

About Author

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Bob Dane, the Federation for American Immigration Reform (FAIR)’s Executive Director, has been with FAIR since 2006. His deep belief is that immigration is the most transformational determinant of where we are heading as a nation and that our policies must be reformed in the public interest. Over many years on thousands of radio, TV and print interviews, Bob has made the case that unless immigration is regulated and sensibly reduced, it will be difficult for America to reduce unemployment, increase wages, improve health care and education and heighten national security. Prior to joining FAIR, Bob spent twenty years in network radio, marketing and communications after an earlier career in policy and budgeting within the Reagan Administration. Bob has a degree from George Mason University in Public Administration and Management.

7 Comments

  1. avatar
    Sanford Butler on

    There is no ‘anchor baby’ law. It is a distortion of the 14th Amendment phrase “……….under our jurisdiction……..”. The parents have put themselves under the jurisdiction of OUR CRIMINAL STATUTES, just as we put ourselves under the jurisdiction of foreign criminal laws when we visit another country., and nothing else.

  2. avatar

    Enjoy reading your statements & productive proposals. I’m an Independent 80 year old great grandmother 👵 & both sets grandparents & uncle migrated 🇺🇸 Before Hitler started his horrific massacre, genoside wars. I’m leaning on the Republican Voter side & proudly voted for President Donald J. Trump🇺🇸

  3. avatar

    This was part of the pork paid out to get the tax bill passed. Far to many of our elected officials have sold their soul and their country for money, power and votes. We are fast losing our language, culture and American way of life. Our last 5 Presidents refused to enforce our immigration laws, leading up to the immigration problems we are having today. It’s going to be up to citizens to save what’s left of our country, government has already proved they cannot and will not deport illegals . The USA has taken in more legal immigrants than the rest of the world combined. It’s time to say ENOUGH !

  4. avatar

    Calling American children names like”anchor babies” shows what type of person you are. Go **** yourself.

    • avatar

      They are anchor babies in the sense that being born to illegal aliens, (a.k.a ********) makes them illegally American citizens. That amendment was ment solely for the negro babies born here to slaves when the slaves were freed. The fact no judge has the balls to rule the amendment in the fashion the writers intended is our loss. Oh and BTW a POS like you needs to STFU, and anchor babies is a much nicer term than ******* babies.