The Federal ID That Pays Illegal Aliens Billions A Year

LN Individual Tax Identification Number ITIN USA American Residence Tax Returns Services Canada CA Firms 1 The Federal ID that Pays Illegal Aliens Billions a Year
Established 15 years ago, the Individual Taxpayer Identification Number [ITIN] is a seemingly innocuous administrative requirement that the Internal Revenue Service assigns to anyone who is employed and pays taxes. According to the IRS website, the numbers are used for federal tax reporting only. But since ITINs, as they are commonly known, are issued to wage earners regardless of immigration status, they’ve frequently been abused by the aliens who hold them.

Although the real estate crisis is fading from our memory, it’s important to recall that the ITIN was the vehicle used in lieu of Social Security numbers, which then legitimized the disastrous lending policy of providing home mortgages to unqualified illegal aliens. With bankers as their willing abettors, and while the Federal Deposit Insurance Corporation purposely looked the other way, aliens took out home loans using ITINs as their major form of identification. Bankers, only too-eager to accommodate poverty-level applicants with balloon financing for homes they could barely make the first payment on, raked in big money. To the bankers, aliens represented the “new market.” Today, five years later, the nation is still reeling from the avalanche of foreclosures that followed.

For aliens, the ITIN is an extremely useful vehicle. Since the IRS isn’t required to share its information with any other federal agency, including immigration authorities, the promise of intra-agency confidentiality allows aliens to file tax returns without fear of deportation. At the same time, holding an ITIN enables aliens to authenticate their presence in the United States and prove that they have paid taxes. This information could be crucial if Congress ever enacted an amnesty.

The ITIN’s improper use is once again in the news. The Federation for American Immigration Reform, in its recent analysis entitled “Treasury Department Says Illegal Aliens Collection Billions in Tax Credits,” revealed that according to the Department of Treasury’s Inspector General, more than $4.2 billion in additional child credits were paid out in 2010 to illegal immigrants. In 2005, the pay outs totaled $924 million. This program allows low income earners to claim a $1,000 per child credit. If the household ends up with no additional tax obligation—as most alien families do not—then $1,000 is paid to them.

Pursuant to the IG report, 72 percent of tax returns filed by ITIN users claimed this credit compared to just 14 percent of returns filed with social security numbers. The generous payment of these benefits represents yet another incentive for aliens to enter, reside and work in the United States without permission. Providing incentives to aliens, financial or otherwise, is against the law.

The ITIN is a sham that should be eliminated. The federal government knows that many ITIN users are illegally in the United States. Automatic acceptance of the ITIN without additional identification is tantamount to endorsing illegal immigration.

At a time when Congress and the president are struggling to find ways to cut trillions of dollars from federal spending, and while more than 14 million Americans are unemployed, it’s unconscionable for the IRS to ignore abuse of its ITIN program that results in billions of dollars in payments made to illegal aliens.

Bypass the Mass Media: Get Articles Straight To Your Inbox!


Please share this post with your friends and comment below. If you haven’t already, take a moment to sign up for our free newsletter above and friend us on Twitter and Facebook to get real time updates.


Comments

  1. Paul Revere says:

    TELL THIS TO THE Current IDIOTS Occupying the WHITE HOUSE. Of course we cannot UP-SET these ILLEGALS Someday they can vote DUMOCRATIC. Thats why Obummer, Moo-Chelle & Co cater to these people who belong "South Of The Border"!

  2. JOSEPH FRROM JERSEY says:

    Just goes to show you that this administration and the person who sits behind our desk in the oval office dose not carry about this country….He only cares about his personal power and his agenda to get it so that he can turn this country into a complete totalitarian marxists …That way he can enslave everyone inclulding the illegals and those who are not in office at the time….meaning his family and all the left …..the rest will be incarcirated of worse………………….just one mans opinion

  3. Every day we uncover something new and bizarre. The one thing we are learning is that this government is as corrupt as any heretofore in any Western nation. But then, what can we expect . . . "The heart of man is exceedingly wicked, who can understand it?" When the values of a nation [its Constitution and religious base] are compromised, it starts a downhill course and ultimately destroys itself. We are fast approaching that point! The supposed "good guys" are doing nothing!

  4. Delaware Bob says:

    Let's face it, this illegal immigration has cost us billions upon billions on people who have no right to be in this country. Just look at the anchor babies the American taxpayers have paid for, 4.2 million over the last 18-20 years, and then handed them a U.S. birth certificate like it was a piece of Christmas candy. At $6,000-$8,000 per birth, that again, is a lot of money for people who have no right to be in this country. The problems go on with the costs of schooling these illegal alien children and giving them free health care for the illegal alien child and the parent, (parents). Now we have demonstrations by these illegal aliens demanding we give them amnesty and in-state tuition. Again these demands come from people who have no right to be in this country. Last I checked, we have no open borders, which is another thing these illegals want along with the la raza activists, and of course the Catholic Church and the worthless aclu.
    Either we give our country away to these illegal aliens who have no right to be here, or we take back our country. Which do you want? Keep in mind, illegal immigration is a cancer, it has to be eradicated not tolerated.

    • Hit 1 for Spanish says:

      I am with you Bob I could not have said it better. After I saw what those illegals were doing to our Flag in Arizona. My blood boiled. I love that flar as I do our country, and to see some Mexican piss on it and stand on it. It is time we all do something about it. But what our Government is so corrupt I do not think anything will be done. God save our Country and all the ones fighting over seas. Enough said. God bless Bob

    • DEFEATOBAMAIN2012 says:

      Every church supports illegals, from feeding, clothing, preachers condemn sin, out of wedlock babies, living together without marriage, same sex partnerships, but encourage it among the illegals, your donation go to the church goes out the back door to support them. Our gov. gives them welfare, food stamps, housing, free medical care. Notice how well dressed they are, how fat, and what they are driving, everything is given to them, they work under than table, and what they earn goes to their home country, and live better than you do. And are they grateful, NO, they trash our country, or laws, our flag, and spit on us.

    • Origanalist says:

      The problem is nothing is going to be done by our government, nothing. The politicians treat this subject with kid gloves, out of fear for their political lives.

      Until and unless the American public makes a shout heard throughout the land nothing will be done.

  5. Danirl from TN says:

    How do I get an ITIN?

  6. michael8495 says:

    I want to say that, I thought that we had a worse President named, Jimmy Carter (a democrate), But now I have to say, Jimmy isn't the worse President America ever had, he has been replaced by a comrad of his, (another democrate) named, President Barack Hussien Obama. Never in my life time could I have ever imagined not just one President, But two Presidents, Both democrates, that had the ability to screw up America like those two DEMOCRATES. The only difference being, (if there really is any) President Carter didn't have what it takes to be a President, And President Obama has to have been Intentually screwing up America. I say this because, I can't imagine President Obama being this stupid, so stupid that is, that he would have had to be so mentally challenged to have put America in the state it is in Right now. Never the less, I have learned through this experience, Never to trust another democrate that is running for elected Office.

    • Michael, please don't refer to Obama as our president, he is not even an American. He's a con artist the New World Order put in office to destroy our country and he is doing a great job for them. The last five presidential terms have been members of the New World Order, and each has done their share of destroying our country. It would seem that Obama will be the last if he gets re-elected. However if he does not we have five more running now that are of the NWO. From what I read on the comments we are doomed. Never listen to what they are saying, check them out thru the internet otherwise, Dem or GOP we are lost.

  7. I believe that the time has come to DEMAND OBAMA STEP DOWN, OR BE ARRESTED AND TRIED FOR TREASON, 2-3 days ago he allowed 300,000.00 illegals to stay in our country. this guy has to go. I dont really care how its done, just so it's done. Enough is enough. He is in violation of our constitution concerning our borders and other extreme violations under the US Patriot Act, which deems that certain factions, such as muslims and islamic believers are "inadmissibles". Google the Patriot Act . Its time we
    held these lawmakers to the laws on the books ie the constitution and the Patriot Act.

  8. Do you have any idea how much this costs you and every other American taxpayer?
    Wait, there's more. Thanks to Bill Clinton's Executive Order 13166, federal bilingual mandates were extended to every single company doing business with the federal government or receiving any federal benefit from the federal government requiring all of them to provide the same multilingual services. This list includes, but is not limited to all government contractors or anyone doing business with the federal government, all tax-exempt entities, like schools, hospitals, churches and all nonprofit organizations.

  9. And we wonder why the "super committee" could not find any place to begin cutting the Federal Budget. Let's face it, they weren't looking. That bunch of crooked Democrats on the committee DID NOT WANT TO FIND ANY PLACE TO CUT! This, I am afraid, is just one of the tips of the iceberg of Federal money paying illegals to come here and to stay here with no questions asked and doing nothing but hold out their hands for more and more of our tax dollars. Even if they do happen to have a job, it is probably a job that does not pay enough for a house payment, and all the attendant expenses so this program encourages illegals to continue to hold out their hands for more US dollars. Obama strikes again.

  10. Carol Goodwin says:

    JUST ONE MORE REASON TO SHUT DOWN THE IRS! THEY ARE GIVING OUR MONEY TO ALIENS!

  11. When will it ever end

  12. Only one presidential candidate will adhere strictly to the Constitution. RON PAUL 2012. He is against all social benefits for illegals, against in-state tuition for illegals, and intends to stop the "anchor baby" misinterpretation of the 14th Amendment.

  13. This is premeditated malicious abuse of American tax paying citizens. It is a form of terrorism that has been inflicted on us since Barry got into the White House.

  14. Juanita Rice says:

    Go to NumberUSA.com and sign up to fight the illegals in this country. It's free and you can send emails to all of your represenatives in Washington and even to the White House. The more messages that the senators and congressmen get, the more that have to wonder about re-election. Of course the White House doesn't care one bit about what you and I think, but sometimes the faxes and emails get so heavy they tie up the White House's lines.

  15. Ridge runner says:

    We need to take back our government from these goons that have taken over. I hope not but the only way may be to use these same guns that these goons are tring to take from us. I just don't see these thives doing the right thing and policing them selfs. These damn thives have the bit in their teeth and are going to run the wagon off the clift.Vote Ron Paul is our best chance. If we can get him ekected he needs to not go to texas for a parade,he might be another jfk.Tptb will stop at nothing to keep their hold on our country.

  16. Tradewinds says:

    Welcome to the Hispanic States of America.. Spanish only..

  17. Kevin Beck says:

    The ITIN should be eliminated. And so should the IRS, with the implementation of the Fair Tax. The Social Security Number could also be eliminated at the same time, since this allows for the implementation of the Income Tax. There is no rational reason that anyone's name should be in a government database unless it is the Bureau of Prisons for incarcerated individuals. By elimination of all these government tracking systems, we can return this country to the ideals of freedom set up by our Founders.

  18. this is just another finger pointed at the govt ….these are the people who are destroying America ..not Wall st or and other street its 1500 Pennsylvania ave and main st, we keep electing these commie socialist Marxist politicians and they keep stabbing us in the back, the govt is to blame for 99% of our problems today and ''WE THE PEOPLE '' elect these killers ,crooks and commies . no one else but us is to blame , we reap what we sow

  19. ROBERT AUGERI says:

    THIS IS JUST ANOTHER WAY THESE ILLEGALS ARE DRAINING AMERICANS DRY. SCHOOLS, HEALTH CARE, PRISIONS, SOCIAL SECURTIY, WHEN ARE WE GOING TO WAKE UP AND DEMAND OUR POLITICANS DO SOMETHING ABOUT AMERICANS BEING ABUSED. THIS IS ONE REASON THE DEMOMCRATS WANT TO RAISE TAXES SO THEY CAN GIVE MORE OF OUR TAX DOLLARS TO ALL OF THE ILLEGALS AND THE ONES WHO DON'T WANT TO GET OFF WELFARE.

    • What message is the Government sending to the people trying to abide by the rules of LEGAL immigration? They hear of the illegals sneaking into America, being welcomed by this government with a ton of entitlements that no American citizen is able to benefit from, except to pay for it by way of taxes..I recently read election materials in 3 states and 248 counties, must be in English and 68 additional languages. Why? If the person cannot speak English ,then why do they need voting information? Will someone please enlighten me. If I am off base. I was taught that only US citizens were allowed to vote. I also remember relatives who immigrated to the USA, had to be sponsored and the Sponsor had to assure authorities that the person would not become dependent on the Government. Times have changed—- for the worse.

  20. What nexts. No wonder they want more taxes from the rich and us. I don't know how our elected people can sit up in washington and know this can sleep at night. We sure have alot of folks up there made of iron.

  21. RalphJohnson says:

    . In this group we very recently have had detailed discussions on the subject of the domination by the "rich" as you have addressed..

    We have learned, as you have stated, that the "economy shines on the rich and famous". And, penetrating into what does this really mean, we have summarized that the power seeking may well take precedent. The ELITE have dominated the planet as long as we have recorded history and much of it (both principalities and individuals–Kings, Queens, Dictators) have been centered within Central Europe and its interbred royal oligarchies.with banking and credit controls (Central Banks). Not much has changed except today we have sophisticated tools such as weapons, computers, internet, and advanced communications and education.

    Our group has acknowledged this and attempted to do a little amateur forecasting. We have summarized that the Big Rivalry will come from the Pacific Region [China-Russia-India-SE Asia] to challenge the historic Atlantic Region [England-USA-Germany-France-Italy] which is in terrible despair monetarily (and not momentarily), and in the discontent of the world populace. Much comes from the throes of civil development and world trade being fueled from the oil industry from which comes much of the wealth (the rich today) as well as the inherited funds from the residues of European oligarchies. A factor with much uncertainty is the search for domination exercised by the forces of Islam.

    You are likely very correct in your statement "no longer is the individual the basis of our democracy". The collective strength is in what many be loosely defined as "demonacracy", wherein the individual rights are trumped by collective rights to the chagrin of the individualists who thru their initiative progressed to the current standard of living as we know it in the "civilized world" .

    The "right" and the "left" as now so commonly quoted as the harbingers of disruption are likely just a diversion from the true culprits who are bent only on totalitarian ends such as getting rich and powerful.

    ======BACKGROUND==In reply to W. Seattle Herald newspaper commentary by G. Kunkel on why the rich maintain control.==
    A friend was kind enough to give me a copy of your subject write-up. I am involved in our Senior Citizen [W. Seattle] Current Events group discussions which is a follow-on to the Great Decisions course sponsored by the Foreign Policy Association which began way back as a forerunner to the United Nations. In this group we very recently have had detailed discussions on the subject of the domination by the "rich" as you have addressed..

    We have learned, as you have stated, that the "economy shines on the rich and famous". And, penetrating into what does this really mean, we have summarized that the power seeking may well take precedent. The ELITE have dominated the planet as long as we have recorded history and much of it (both principalities and individuals–Kings, Queens, Dictators) have been centered within Central Europe and its interbred royal oligarchies.with banking and credit controls (Central Banks). Not much has changed except today we have sophisticated tools such as weapons, computers, internet, and advanced communications and education.

  22. The ITIN needs to be abolished immediately. If illegals cannot do business with a legal SS#, maybe they will GO HOME!

  23. Alergic To Ovommit says:

    Obama used one to become president even though he was born in Kenya.

  24. Shel Rama says:

    Did we not borrow that money from China to give to the illegal aliens? If not, where did that money come from? CHINA!

  25. NO ONE here illegally is entitled to anything!It is the American taxpayers who are footing this bill and with our especially egregious economy , giving handouts to illegals is total insanity! November 2012 is coming and so is the REAL hope to change America back to the land of common sense. We are NOT going to continue to be the land of SOCIALIST PROGRESSIVE ENTITLEMENTS any longer.

  26. What will happen? First Team Obama will do their utmost to destroy the Sheriff and ridicule his posse. Secondly, the only people who could really do anything with it, Congress will ignore him. The media will do their best to make sure that everyone believes that the Sheriff is crazy, and that rhe whole thing is simply political nonsense. Look, it has already been proven, with very little doubt, that Obama was not born in this country, and even if he were as he claims, he still isn't qualified to sit in the oval office by virtue of a dual citizenship at birth, stemming from his professed father. In spite of this, the congress has protected him. Not looking very good for American checks and balances.

  27. You do not expect anyone is WDC in the Democrat party and half of the Republican party to do anything for the people of the United States, do you? They have screwed us over for a long time. Obama is finishing us off. WE have to get rid of the sob.

    VOTE for RON PAUL!!!!

  28. Well hel we pay all of the muslim lead countries that hate our guts!! Might as well pay all of the illiagel aliens as well!!! And we wonder why we are 15 TRILLION DOLLARS IN DEBT!!!

Speak Your Mind