“The IRS issues Individual Taxpayer Identification Numbers (ITINs) to undocumented aliens to improve nonresident alien compliance with tax laws. This IRS practice seems counter-productive to the Immigration and Naturalization Service’s (INS) mission to identify undocumented aliens and prevent unlawful alien entry.” Semiannual Report to Congress 1999
By Bruce Branick | August 5, 2013
Since the imposition of the Individual Taxpayer Identification Number (ITIN), whereby individuals residing within the borders of the United States, yet ineligible to receive Social Security Numbers have been able to file tax returns, widespread fraud has gone unabated. This according to the 2012 report (Reference Number: 2012-42-081) issued by the Treasury Department’s Inspector General for Tax Administration (TIGTA).
The system of ITIN numbers was created in 1996 and it was well known during the Clinton years that illegal aliens were recipients of these tax identification numbers. It was President Bill Clinton who rammed NAFTA through Congress as an Executive Agreement rather than a Treaty. In fact, in 1999 the Semiannual Report to the Congress issued by TIGTA stated as much finding it “counter-productive” to the INS’ mission. “The IRS issues Individual Taxpayer Identification Numbers (ITINs) to undocumented aliens to improve nonresident alien compliance with tax laws. This IRS practice seems counter-productive to the Immigration and Naturalization Service’s (INS) mission to identify undocumented aliens and prevent unlawful alien entry.” Surely this began in practice the policy of ‘Open Borders’ which, as an instrument of NAFTA, encouraged the employment of illegal aliens particularly in the agriculture, construction and tourist industries encouraging even greater illegal cross border migration into the United States from Mexico over the past decade and a half that has risen to crisis proportions.
Overall, for processing year 2011, “the IRS processed more than 2.9 million ITIN tax returns resulting in tax refunds of $6.8 billion.”
Treasury’s Inspector General overseeing the IRS called for changes to identify fraudulent applications in its July 16, 2012 report. For tax year 2011, the report verified that 53,994 refunds were issued to 10 addresses alone in the United States, amounting to a refund total of $86,382,307. The number one address located in Atlanta, Georgia had 23,994 refunds issued amounting to $46,378,040. The fifth highest recipient address located in Raleigh, North Carolina received 2,408 tax refunds, while the tenth identified single address received 1,846 refunds totaling $3,298,877.
The 2012 TIGTA report claimed the IRS “management does not use ITIN application data to identify and prevent fraud,” pointing out their analysis found “154 mailing addresses were used 1,000 or more times on an ITIN application.” Among the top ten addresses were Phoenix, Arizona (1), Dallas, Texas (2), Atlanta, Georgia (3), Atlantic City, New Jersey (4), Tulsa, Oklahoma (5), Indianapolis, Indiana (6), Orange, California (7), Los Angeles, California (8), Columbus, Ohio (9), and Morganton, North Carolina in the western part of the state home to the Synthron paint additive plant.
Those getting rich using illegal labor tell you “Americans won’t do the jobs illegals do,” working in canning factories, working on cattle feed-lots, on highways, working in the seafood field and in restaurants. What a ridiculous statement. Americans CAN’T take many of those jobs because the employment doesn’t pay American wages that would support American families! Those wages only support illegal aliens, under the table, and handsomely.
The Center For Immigration Studies’ Marti Dinerstein says: “Thru its issuance of Individual Tax Identification Numbers (ITIN) the IRS appears to be blind or indifferent to the reality that it has created an official U.S. tax number illegals are using as identification (ex. Drivers licenses); endangered homeland security by issuing ITINs to illegals without adequately ensuring IRS ITINs are denied to terrorists, criminals on the FBI database, and those under deportation notices; exceeded its role as a tax receiver and processor by marketing the ITIN to illegal immigrant communities; failed to provide safeguards to prevent illegals from receiving tax benefits they are not entitled to; subverted U.S. Immigration laws by withholding information from INS and SSA about fraudulent illegal activities…something must be done to protect our core identity…”
TIGTA’s audit of the IRS in these matters essentially found a BIG Government that rides roughshod over the American people and is deficient in its duties ultimately causing great harm to the nation.
The wanton throwaway of taxpayers’ hard-earned dollars, the IRS’ eager willingness to cooperate with the Executive branch of government for political purposes in threatening and punishing conservatives and Tea Party groups attempting to start political organizations tells us that the government’s most powerful anti-citizen tool has been freely used to harm innocent people, destroy First Amendment rights and become the most cogent reason Americans will ever have to abrogate a harmful and destructive service of government and strike out for a flat tax system operable on a post card, while 90% of the voters and thousands of conservative Democrats are still seething with resentment.
Bruce Branick served his nation for over 5 decades at sea. After three years of North Atlantic convoy duty as a Radioman in the U.S. Coast Guard’s Greenland Patrol and a fourth year attached to the Richmond Naval Air Station, a Florida Blimp Base concerned with Anti-submarine Warfare, he spent 50 years in the U.S. Merchant Marine as a Radio Officer, voyaging the world over from the Arctic to Antarctica, from Galveston to Istanbul, from Suez to Hong Kong. Mr. Branick, a contributor to SFPPR News & Analysis, is author of Memoirs of a Loose Cannon and Two If By Sea (1970).