- All Posts
- Growing Up Bronx
Scams happens everyday, everywhere. Fact.
Recently we wrote about how in-state tuition makes attaining a higher education easier for undocumented people than it does for U.S. citizens. Next lets discuss fraud.
This a.m I read a few articles on a loophole that undocumented workers in the U.S. are using to scam the IRS and tax payers out of over 4 billion dollars a year.
The IRS requires everyone to file taxes, even people that are here without documentation. Yet since undocumented workers do not have social security numbers, they are issued a number called an ITIN, individual taxpayer identification number. When filing taxes they use that number in place of a social security number.
The credit used in the scam is called the “additional child tax credit”. A credit designed to help working families with children living at home.
The scheme involves using children that live in other parts of the world and claiming them as if they live with you. A whistleblower went on the blaze and provided proof of people claiming up to 12 kids that actually lived in Mexico, nieces and nephews. The whistleblower provided documents proving that undocumented workers have received over $11,000 from the IRS as a refund using this credit scam.
The inspector general’s office has brought this to the attention of the IRS and requested they investigate before handing out these tax credits. The IRS claims that they are following the rules and laws and will not stop. Meanwhile the legal U.S. taxpayer continues footing a 4 billion dollar scam bill while the undocumented workers continue to profit.
How do you feel about this? Should undocumented workers be allowed to receive money back based on the number of children they claim? Should they even receive money back at all? Should the IRS review their current policies in order to stop this fraud from happening?
Sound off in the comments section and let us know what you think.
Growing Up Bronx