US Going Deeper Into The Red Now That The IRS Is Sharing Tax Data With ICE

from the making-America-late-on-interest-payments-again dept

The government needs more funding than ever, which is kind of hilarious when you realize the Tea Party of the Obama era was the predecessor of this Big Government version of the GOP.

The DHS can’t even get itself a budget at the moment. Sure, it will get some money thrown to it sooner or later and the administration won’t let the lack of tax revenue offsets stop it from feeding billions more into its Bigotry Machine.

But that’s not all. Behold our all-but-officially-declared war in Iran, currently headed by the Department of Defense War Little Excursion, which is adding billions of dollars weekly to the national deficit. After all, as right-leaning libertarians like to point out, the government doesn’t actually “make” anything. The private sector builds the bombs and missiles. And unlike TSA agents, they expect to be paid.

You know who could help this country offset some of its insane expenditures? It’s the same people we’re spending billions to remove from the country:

Immigrants accounted for more US income and generated more revenue for the government because they were, on average, over 12 percentage points more likely to be employed than the US-born population. This means that even if immigrants earn lower hourly wages, they can still account for more total income per capita than the US-born population by working cumulatively more hours. This higher employment rate was driven by the fact that immigrants were, on average, 20 percentage points more likely to be of working age. Immigrants usually arrive in the US as young adults and often leave before retirement.

More succinctly, immigrants out-punch their weight class when it comes to erasing budget deficits:

Accounting for savings on interest payments on the national debt, immigrants saved $14.5 trillion in debt over this 30-year period.

[…]

Without the contributions of immigrants, public debt at all levels would already be above 200 percent of US GDP—nearly twice the 2023 level and a threshold some analysts believe would trigger a debt crisis.

But that help is apparently no longer welcome. The Trump administration has succeeded in eliminating the firewall between the IRS and ICE, allowing ICE agents to use this data to hunt down taxpayers who work harder and pay more taxes than the white, natural-born citizens that this administration pretends make America great.

That’s going to cause even more problems for an administration that is spending far more liberally than any “liberal” it blames its current budget problems on. Here’s how that looks on the ground as Tax Day has come and gone in the United States:

By the time Tax Day rolls around every April 15, accountant María José Solís usually has more to do. More clients. More paperwork. More phones ringing, more emails and WhatsApp messages pinging.

But this year, she said, more than 550 of her regular clients have disappeared. That’s about 15 percent of her customer base at Toro Taxes, the bilingual firm in Wheaton, Maryland, that Solís runs.

There’s your anecdote, albeit one that’s being repeated around the nation. Here’s the data:

The Yale Budget Lab estimates that the IRS stands to lose between $147 billion and $479 billion over the next decade as migration to the U.S. declines, deportations increase and immigrants of various statuses disengage from the formal economy for what some experts say may be an extended period.

That estimate will likely be low if the Trump administration continues to purge migrants at the rate it has since Trump returned to office. It will definitely be lower if another similarly bigoted GOP lawmaker succeeds him as president.

And it’s not just the losses up front. There’s money leaking out the back as well. It’s a double-dip, because migrants with ITINs (individual tax identification numbers) pay taxes for services they can’t actually access, like Social Security and Medicare. They’re actually subsidizing citizens who pay fewer taxes, work fewer hours, and commit more crimes than they do.

This nation continues to become poorer, not just in terms of financial viability, but in heart and spirit. Migrants made this nation great. Now, a bunch of ungrateful people who hate people who aren’t white are not only driving us deeper into debt, but they’re eliminating a source of income that never asked for anything more than a chance to survive.

Filed Under: bigotry, cbp, dhs, ice, immigration, irs, mass deportation, trump administration