#Health4All "New 50-state analysis: Undocumented Californians pay $3.2 billion in state and local taxes" for Thursday 16 April 2015

#Health4All "New 50-state analysis: Undocumented Californians pay $3.2 billion in state and local taxes" for Thursday 16 April 2015

A new 50-state study, Undocumented Immigrants’ State and Local Tax Contributions, by the Institute on Taxation and Economic Policy finds that the 3.1 million undocumented immigrants currently living in California collectively paid $3.2 billion in state and local taxes in 2012. This represents a $500 million increase over a similar report two years ago.
ITEP’s analysis also finds that under the Obama Administration’s executive actions their combined state and local tax contributions would increase by $200 million in California. An even more substantial increase of $500 million is projected under comprehensive immigration reform granting all undocumented immigrants lawful permanent residence.
“The numbers alone make a compelling case for reform,” said Matthew Gardner, executive director of ITEP. “This analysis shows that undocumented immigrants already are paying billions in taxes to state and local governments, and if they are allowed to work in the country legally, their state and local tax contributions would considerably increase.”
The report’s key findings:
In California alone, undocumented immigrants contributed $3.2 billion to state and local taxes in 2012.
The average effective state and local tax rate for undocumented Californians (the share of income they pay in taxes) is an estimated 8 percent; when the administration’s executive action is fully implemented, that rate will jump to 8.4 percent, meaning undocumented Californians pay nearly as much of their income in taxes as the wealthiest 1 percent.
Under President Obama’s 2012 and 2014 executive actions, which would make temporary immigration reprieve available to up to 1.57 million undocumented immigrants in California, their state and local tax contributions would increase by an estimated $200 million a year once fully in place.
Nationally, undocumented immigrants contribute significantly to state and local taxes, collectively paying an estimated $11.84 billion in 2012.
Nationally, the tax contributions of the U.S.’s 11.4 million undocumented immigrants would increase by $845 million under full implementation of the administration’s 2012 and 2014 executive actions and by $2.2 billion under comprehensive immigration reform.
To view the full report or to find state-specific data, go to www.itep.org/immigration/.
Sincerely,
The #Health4All Team
www.health4allca.org

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