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Will lawmakers act to close tax loophole for illegal immigrants?
WTHR.Com ^ | Apr 30, 2012 9:03 AM CDT | Bob Segall

Posted on 05/06/2012 3:55:55 PM PDT by BradtotheBone

INDIANAPOLIS - Congressman Dan Burton (R – Ind) is frustrated – very frustrated – after learning the details of an Eyewitness News investigation.

"Why in the world are we doing this?" he asked. "Are you kidding me? The cost to the American tax payer is huge!"

The veteran lawmaker is responding to what 13 Investigates discovered all across Indiana: illegal immigrants getting big tax refunds from the Internal Revenue Service thanks to a loophole in federal law.

MORE: Tax loophole costs billions

The loophole allows undocumented workers to collect what's called an additional child tax credit. The credit – up to $1,000 per child – can be claimed even by families who pay nothing in taxes, in many cases resulting in a cash payment from the IRS. It is intended for working families with children who live in the same home.

But a local tax preparer came to Eyewitness News to blow the whistle on millions of people who, he believes, are taking advantage of the system. He says many illegal immigrants are claiming the tax credit for children who've never lived in this country, and he showed 13 Investigates dozens of redacted tax returns to prove his point.

"There is not a doubt in my mind there is huge fraud taking place here," said the whistleblower, who asked not to be identified for fear of reprisal. "I can bring out stacks and stacks. It's just so easy it's ridiculous."

(Excerpt) Read more at ...

TOPICS: Crime/Corruption; Extended News; Government; Mexico; US: Indiana
KEYWORDS: cheats; fraud; illegalaliens; taxes

1 posted on 05/06/2012 3:55:57 PM PDT by BradtotheBone
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To: BradtotheBone

Nothing will be done about it, the GOPe and Dems are in this together.

2 posted on 05/06/2012 3:57:40 PM PDT by GeronL (The Right to Life came before the Right to Pursue Happiness)
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To: BradtotheBone

Is the title of the article a trick question?

3 posted on 05/06/2012 4:00:00 PM PDT by Truth29
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To: BradtotheBone
Congressman Dan Burton (R – Ind) is frustrated – very frustrated – after learning the details of an Eyewitness News investigation.

"Why in the world are we doing this?" he asked. "Are you kidding me? The cost to the American tax payer is huge!"

Dan, in case you didn't know it, Congress has "career" membership with the likes of YOU to make it happen and to prevent it from happening.

If you are unaware, the go home so we can get someone to replace you who can do their job and prevent it!

4 posted on 05/06/2012 4:08:05 PM PDT by EGPWS (Trust in God, question everyone else)
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To: BradtotheBone
It is intended for working families with children who live in the same home.

Oh yeah, that makes redistribution of wealth, and the violation of natural rights just dandy.
5 posted on 05/06/2012 4:10:52 PM PDT by andyk (Go Juan Pablo!)
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To: BradtotheBone

I know folks who work for the IRS.

They say that people with ITINS (Immigrant tins) will claim 4 or 5 nephews and nieces to get the credit and deductions. What is worse is that these are 18 and 19 year olds claiming Head of Household status and Self Employment income in an amount that is just enough to result in 0 tax due and maximum additional child tax credit. They know exactly what is going on, but nothing is done because it might be “discriminatory.” It drives the IRS people nuts. They are essentially taking the taxes that they as citizens pay into the system and giving it to someone filing a crimnal return.

Please do write your congresspeople and ask that no one with an ITIN get additional child tax credit, and that no one be allowed to go back and amend to claim ACTC after you get a valid SSN.

6 posted on 05/06/2012 4:16:41 PM PDT by Pete from Shawnee Mission
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To: Pete from Shawnee Mission
Here are some toll-free numbers for Congress:

800-833-6354 (AMA sponsored)


877-762-8762 toll-free number

866-808-0065 toll-free number

toll-free US CAPITAL SWITCHBOARD 866-220-0044


REFERENCE Treasury Department Says Illegal Aliens Collecting Billions in Tax Credits

According to the US Dept 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. $20 billion EITC is estimated to have been paid out to these cunning "impoverished" illegals. Most of them are collecting over and over again-----using multiple identities-----falsifying official apps---claiming children they do not have and/or falsely stating kids are back in their homelands.

REFERENCE March 8, 2012 KENNER, La. -- Kenner police arrested illegal Marvin Baca who sold false W-2 forms to another illegal immigrant for $1,500. Baca sold fraudulent W-2 forms for $1,500 to other Hispanics here illegally.

Police said that on one of the forged W-2 forms had a SS no of a person living in Virginia. Police said illegal Hispanics purchase fictitious W-2 forms and file false tax returns with the government to receive EITC refunds. Baca was charged with one count of ID theft and two counts of forgery.


The "just here for a better life" crowd who freely violate our borders and "do the jobs Americans won't do" have more criminal enterprises than you can shake a stick at.

<><> Hilderberto Salinas sold state drivers' licenses issued out of the state’s Motor Vehicle Agency in NJ to illegals with multiple identities who did not have the necessary id's....among 40 people who participated in the widespread ring. "Impoverished" illegals paid $2,500 to $7,000 apiece for the licenses.

<><>ICE's "documents and benefits fraud task force" found a common practice among "impoverished" illegals is to buy several faked identitues for several thousand dollars each----the illegal then votes and rides the US gravy train under several names. Jose Madrigal---the Washington state rapist---had some 30 identities.

<><>June 26, 2010 An illegal using multiple identities was sentenced to prison and ordered to pay back $3 million in fraudulently obtained unemployment compensation. Manuel Mejia Ordonez, got eight years for conspiracy to commit mail fraud........and identity theft.

<><> July 21, 2006----NJ BERGEN RECORD---Pelcastre brothers, Angel and Jorge, Dallas, Texas, were a walking threat to US national security, expert document forgers who, for a few thousand dollars, could give anyone a new identity, NJ L/E authorities said. The Texas brothers were a "one-stop shop" for a myriad of fake US documents, including birth certificates, Social Security cards, driver's licenses----for any state in the US------ passports and resident alien cards, said state police.

The Texas brothers turned a NJ hotel room into a business office and were readying a massive cache of fake Social Security cards for delivery to a local NJ identity broker. Officers happened upon two cars bearing Texas plates in a NJ hotel parking lot. The Texas brothers were followed to a NJ office supply store nearby where they purchased computer supplies. Officers then followed the Texans to a NJ storage facility in Secaucus, NJ, where the Texans loaded several boxes into a car. One of them stood lookout. After a search, police recovered laminating sheets with built-in security features, pages of blank documents waiting for fake names and information, finished documents, computers and software to create the fake IDs.

All told, the haul was worth about $500,000 on the street when sold to "impoverished illegals." Police also recovered $6,000 in cash, which was the first payment from a NJ fake document broker for a shipment of 500 phony Social Security cards.

7 posted on 05/06/2012 4:44:30 PM PDT by Liz
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To: Pete from Shawnee Mission

Why exactly am I subsidizing anybody for raising their own kids ?

Child tax credits, personal exemptions, etc. are responsible for shifting tax burdens. We have 50% of the people who have shifted their ENTIRE tax burden onto others. None of this would happen with a flat tax.

The total revenue from the individual income tax is less than $1T out of $12T total personal income. So we have all these credits and exemptions that actually make people — including illegal aliens apparently — non-taxpayers or even tax welfare recipients ... all so they can avoid paying 8 cents out of every dollar earned in Federal Income Tax ? That’s just stupid and insulting.

A 10% flat individual income tax would completely replace the revenue from not only the individual income tax, but the corporate income tax as well, removing the burden of tax compliance from American business and making us the best tax environment in the world for businesses to operate in. And without any tax credits, nobody will receive any “welfare” checks from the IRS.

Of course, as Obama is on record, it isn’t about revenue at all ... it’s about punishing successful people (aka “fairness”).

8 posted on 05/06/2012 5:17:39 PM PDT by Kellis91789 (The ultimate result of shielding men from the effects of folly is to fill the world with fools.)
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To: BradtotheBone

I had to provide SS numbers for the children; have things changed? Is the media making up a story? Is the IRS not checking them SS numbers like they did me?

9 posted on 05/06/2012 5:36:49 PM PDT by the_daug
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To: BradtotheBone

There is no loophole, the returns are fradulent. Why the IRS even processes them is a mystery. THAT’S where the investigation should be.

10 posted on 05/06/2012 6:57:39 PM PDT by NonValueAdded (Chen Guangcheng: Gutsy call, Obama /UltraMegaDrippingSarc)
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To: NonValueAdded

Haven’t you got the memo? The only people who have to fear the IRS are U.S. citizens.

11 posted on 05/06/2012 10:39:02 PM PDT by headstamp 2 (Liberalism: Carrying adolescent values and behavior into adult life.)
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