Estimating Illegal Immigrant Receipt of Cash Payments from the EITC and ACTC
By Steven A. Camarota and Karen Zeigler on May 13, 2021
Steven A. Camarota is the director of research and Karen Zeigler is a demographer at the Center.
The nation’s two largest cash assistance programs for low-income workers are the Earned Income Tax Credit (EITC) and the Additional Child Tax Credit (ACTC). Despite their names, both programs are cash payments, not tax refunds. Millions of illegal immigrants have Social Security numbers (SSNs), potentially allowing them to receive cash payments from the EITC and ACTC. Illegals without SSNs who have U.S.-born children are also allowed to receive the ACTC by using an Individual Taxpayer Identification Number (ITIN). Based on their income and number of U.S.-born children, we estimate that illegal immigrants may receive between $3.8 and $4.5 billion from the two programs. This is in addition to the $4.4 billion we have previously estimated illegals likely received in stimulus checks this year.
About two million illegal immigrants have been issued Social Security numbers, including those with Deferred Action for Childhood Arrivals (DACA), Temporary Protected Status (TPS), and applicants for adjustment of status, suspension of deportation, and asylum, as well as parolees and those granted withholding of removal.
All of the above individuals are in the country illegally and could be required to leave. Yet, under the current system, they are still given work authorization and Social Security numbers, allowing them to receive the EITC and ACTC.
https://cis.org/Report/Estimating-Illegal-Immigrant-Receipt-Cash-Payments-EITC-and-ACTC
