Tuesday, March 10, 2015

Tax Refunds To Illegals Under Obama Immigration Action Would Be Stopped By Bill

Whatever one thinks of the President Obama’s aggressive executive action on immigration—which is still being litigated in the courts—tax refunds for the affected illegal immigrants has itself become controversial. The IRS says that illegals can file and claim refunds for the last three years under the Earned Income Tax Credit. That is the same refundable tax credit that is responsible for billions in fraudulent refunds. IRS Commissioner Koskinen confirmed this, explaining the seemingly bizarre result to Sen. Charles Grassley (R-Iowa).
What if you never reported any income or never filed a return? Under President Obama’s executive action, an illegal immigrant can (1) get a Social Security number, (2) claim the Earned Income Tax Credit for the three open tax years, and (3) IRS sends three years of tax refunds. No matter that you never paid taxes, never filed a return, worked off the books, etc.

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