Saturday, April 20, 2024

Taxpaying Immigrant Families Are Safe For Now

Lawmakers in Washington announced on Thursday last week an agreement to extend the payroll tax cut, without excluding immigrant children from benefiting from the Child Tax Credit.

As La Plaza’s recent call to action reported, some congressional members were trying to require all tax filers who claim the Additional Child Tax Credit to file with a Social Security Number rather than an Individual Taxpayer Identification Number, in an attempt to offset the cost of extending the payroll tax holiday.

Had this provision been included in the agreement, millions of children would have been affected, with over 5 million of them from immigrant and mixed-status families, who pay taxes using an Individual Taxpayer Identification number.

In the final agreement, the cost of the bill will be covered through a combination of healthcare savings, spectrum sales and savings from federal workers’ pensions.

President Obama is expected to sign the legislation later this week.

Tax Credits for Working Families