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Fact check: How federal income tax was paid be illegal aliens in California?
1. Summary of the results
According to multiple sources, undocumented immigrants in California make substantial tax contributions. In 2022, they paid $8.5 billion in state and local taxes [1], with approximately 21% of this amount coming from personal or business income taxes. Looking at historical data, in 2014, undocumented immigrants paid approximately $1.1 billion in state income taxes in California alone [2]. At the federal level, over 2.5 million tax returns were filed using Individual Taxpayer Identification Numbers (ITINs) in 2019, accounting for nearly $6 billion in federal taxes nationwide [3].
2. Missing context/alternative viewpoints
Several important contextual points need to be considered:
- The tax contributions are distributed across different types of taxes: 46% through sales and excise taxes, 31% through property taxes, and 21% through personal or business income taxes [1]
- These contributions are made despite limited access to public benefits [1]
- If undocumented immigrants were granted work authorization, their tax contributions could potentially increase to $10.3 billion [1]
- California is noted as one of the highest contributing states in terms of tax dollars from undocumented workers [2]
3. Potential misinformation/bias in the original statement
The original question might suggest a misconception that undocumented immigrants don't pay taxes or contribute to the tax system. However, the data shows that:
- They utilize legitimate systems like ITINs to pay federal taxes [3]
- Their contributions are substantial and quantifiable across multiple tax categories [1]
- The focus on federal income tax alone misses the broader picture of total tax contributions through various channels [1]
Those who benefit from downplaying these contributions might include anti-immigration politicians and organizations, while those advocating for immigration reform might benefit from highlighting these substantial tax contributions as evidence of economic participation.