Do Immigrants Pay State Taxes?

[CarolineM 0]

I think the "rumor" that you are referring to has to do with immigrants who start their own businesses...I think that they don't have to pay tax on something related to that.

but...

not true

Edited September 20, 2006 by karo112

[I'm Gone 60]

The Personal Responsibility and Work Opportunity Reconciliation Act of 1996, permits payment of Social Security benefits to aliens living in the United States (U.S.) only if they are lawfully present in this country. The law requires that anyone living in the U.S. who applies for Social Security benefits on or after December 1, 1996, must provide evidence that he or she is a U.S. citizen or U.S. national, or an alien lawfully present in the U.S. as determined by the Attorney General.

RS 00204.010 U.S. Citizenship/Lawful Presence Payment Requirement Effective for Claims Filed September 1, 1996 or Later:

http://policy.ssa.gov/poms.nsf/lnx/0300204010

RS 00204.025 Evidence Requirements for Lawful Presence:

http://policy.ssa.gov/poms.nsf/lnx/0300204025

Your ability to receive Social Security benefits while outside the U.S. will depend on your country of citizenship and residence.

“Your Payments While You Are Outside The United States,” publication number 05-10137"

http://www.ssa.gov/pubs/10137.html

You should receive your Social Security Statement approximately three months prior to the month of your birthday unless:

-- You have no earnings on your record;

-- You are receiving Social Security benefits or have a claim for benefits pending;

-- Have an incorrect address on record with the Internal Revenue Service (IRS) Note: All address information is obtained from IRS

-- Have received a Statement, either by an online request or received one automatically in the past 11 months.

New recipients are added to the mailings as they turn age 25.

This good to know.

Social Security Protection Act of 2004 (Public Law 108-203) signed by President Bush on March 02, 2004.

Prohibit Benefits to Persons Not Authorized to Work in the United States

Would provide that the payment of Title II benefits based on the earnings of any noncitizen would be precluded unless (1) the noncitizen had ever been issued an SSN indicating authorization to work in the United States, or (2) the noncitizen, at the time any quarters of coverage are earned, was admitted to the United States under a B1 visa (for business purposes) or D visa (crew member--e.g., for an airline).

Would be effective with respect to Social Security numbers issued on or after January 1, 2004.

The information below is take from Social Security Administration (SSA) procedure as to how

the above provision of P.L. 108-203 is applied by SSA.

http://policy.ssa.gov/poms.nsf/lnx/0300301102

RS 00301.102 Additional Requirements for Alien Workers- Social Security Protection Act of 2004

F. EXAMPLES

4. SSN Assigned On or After 1/1/2004: Alien NH Has “Work SSN,” Prior Status as Undocumented Alien

Gustav entered the U.S. without inspection (i.e., he was an undocumented alien) on 4/16/97. He worked without authorization from DHS for several years in covered employment using his brother’s name and SSN. He applied for admission as a lawfully admitted permanent resident alien (LAPR) and was granted LAPR status on 3/13/04. Gustav applied for an SSN on 4/27/04 and was assigned an SSN and issued an SSN card for work purposes on 5/12/04. He became disabled on 6/22/04. Gustav, his wife and children applied for Title II benefits on 6/30/04. The children are U.S. citizens; the wife is LAPR.

Gustav’s own SSN was originally assigned on or after 1/1/04; therefore, we have to determine whether he meets the requirements of Section 211 of the SSPA. Since Gustav had been issued an SSN card for work purposes on 5/14/04, he meets the requirements of Section 211 of the SSPA. Therefore, determine whether Gustav meets DIB insured status using all of his covered earnings, including wages and/or self-employment income earned while he worked illegally under his brother’s SSN. Take the necessary corrective action to move Gustav’s earnings as an undocumented alien from his brother’s record and/or the suspense file to the earnings record for his own SSN.

All of Gustav’s covered earnings may be used to establish quarters of coverage and to determine insured status. If Gustav meets the applicable insured status test(s), process an award. If he does not meet the insured status test(s), process an insured status disallowance.

NOTE: Gustav’s wife and children can be entitled if he is entitled to benefits. Also, Gustav and his wife must meet the lawful presence requirement if they are in the U.S.

[AnaAndDaniel 0]

and there is the Tax Identification Number (TIN) that is used by some in the immigrant and non-immigrant community to deal with the IRS. So some of those are paying taxes that way.

so, bottom line is some(legals and illegals) do and some(illegals and legals) don't

Daniel

:energetic: