It is not hard to spot an amateur. They are prone to making unforeseen errors. The amateur makes errors that would have been recognized by those who did the job on a regular basis. Simple things become complicated, and related things seem to be overlooked. This is the case with the executive order by President Obama. He might have actually made his decision based on pure motives. If he did, then he did not see the whole picture and his advisors missed some things—such as the fact that these law-breakers will receive compensation for tax evasion.
The Washington Times reported:
The IRS is defending its decision to let illegal immigrants claim up to three years’ refunds on income even if they never paid income taxes, telling Congress in a new letter last week that agency lawyers have concluded getting a Social Security number triggers the ability to go back and ask for previous refunds.
What this will mean is that those illegals who will not be prosecuted for coming here illegally will now be rewarded for committing tax evasion. If they can prove that they worked and hid their earnings from the IRS by not filing, they can check and see if they have missed receiving benefits for three years. But what if there is no benefit?
The Times further reports:
But the IRS lawyer’s ruling creates an odd circumstance where illegal immigrants who cheated by not paying taxes before can see if they would benefit from refunds. If they do benefit, they could file; but if they don’t benefit, they could continue to avoid taxes for those years.
How is this even possible? Well, it is simple. According to the executive order, up to 4 million illegals could receive Social Security Numbers. As we have seen from the report, this will automatically make them eligible to file for three years of Earned Income Tax Credit. But if they were not eligible, they do not have to file or pay back-taxes.
“Section 32 of the Internal Revenue Code requires an SSN on the return, but a taxpayer claiming the EITC is not required to have an SSN before the close of the year for which the EITC is claimed,” IRS Commissioner John Koskinen wrote in his letter to Sen. Charles E. Grassley on Wednesday.
Once again, the hard-working American citizen sees his money given to a cheat. She/he has managed to do everything the wrong way, and yet we reward him/her.
Fox News reports:
Here’s how. A recent Homeland Security Committee hearing on immigration revealed an alarming consequence of President Obama’s executive amnesty—that illegal immigrants with deferred status may be able to receive the Earned Income Tax Credit (EITC). Moreover, this person, who is here in the U.S. unlawfully, could be able to file an amended tax return for up to the last three tax years, possibly receiving upwards of $24,000 in tax credits.
How is this not theft? In what world is it okay to take money taken at the point of a gun from those who seek to obey the law and give that money to a criminal?
Mr. Grassley said that made a mockery of the law and said he’ll try to write a bill specifically prohibiting it.
“The tax code shouldn’t reward those who broke our immigration laws,” the Iowa Republican and chairman of the Senate Judiciary Committee said in a statement.
But is this not the Republican Senator conceding that the executive order will stand?