via
Getty
Images)
On
February
7,
the
new
Secretary
of
Homeland
Security
Kristi
Noem
sent
a
memo
to
the
Internal
Revenue
Service
asking
for
assistance
with
immigration
enforcement.
It
requested
the
availability
of
qualified
officials
—
including
law
enforcement
—
to
work
with
Immigration
and
Customs
Enforcement
(ICE).
This
is
part
of
President
Donald
Trump’s
campaign
promise
to
deport
a
large
number
of
undocumented
migrants,
particularly
those
who
have
committed
crimes
or
have
a
criminal
background.
ICE’s
X/Twitter
account
has
posted
daily
enforcement
updates
since
Trump
(re)took
office.
As
a
result,
its
follower
count
and
engagement
have
exploded.
The
memo
specifically
mentioned
investigating
the
financial
activities
of
human-trafficking
rings,
businesses
that
employ
undocumented
migrants,
and
seizing
assets
tied
to
immigration-related
offenses.
Historically,
the
IRS
has
not
shared
information
with
ICE,
the
United
States
Citizenship
and
Immigration
Services,
or
the
Department
of
Homeland
Security.
This
is
because
federal
law
states
that
tax
returns
and
return
information
is
confidential
except
in
limited
circumstances.
Also,
the
impression
of
nondisclosure
would
incentivize
undocumented
migrants
to
file
tax
returns
and
pay
taxes.
Indeed,
undocumented
migrants
are
estimated
to
pay
$96.7
billion
in
federal,
state,
and
local
taxes.
Lastly,
sharing
tax
information
would
be
futile
since
there
is
no
established
method
of
identifying
undocumented
migrants
solely
from
tax
information.
Over
2,100
IRS
special
agents
currently
specialize
in
investigating
tax
evasion
and
other
financial
crimes.
They
carry
firearms
and
have
law
enforcement
authority.
Given
their
relatively
small
number,
it
is
unlikely
they
will
be
watching
the
border
with
Border
Patrol
agents.
Despite
the
separation,
the
IRS
and
its
criminal
investigation
division
collaborates
with
other
federal
agencies
to
combat
financial
crime.
Undocumented
migrants,
despite
living
in
the
shadows,
are
required
by
law
to
file
tax
returns
and
pay
taxes
even
if
they
do
not
have
a
work
permit
or
legal
residency
status.
For
tax
purposes,
residency
is
determined
by
either
the
possession
of
a
green
card
or
the
number
of
days
present
in
the
U.S.
based
on
the
complex
“substantial
presence
test.”
If
an
undocumented
migrant
meets
the
residency
requirement,
they
are
taxed
like
a
U.S.
citizen.
If
they
are
considered
nonresidents,
they
are
only
taxed
on
their
U.S.-source
income.
Tax
returns
require
a
social
security
number.
Undocumented
migrants
usually
cannot
get
one
just
by
asking
for
it.
Until
they
qualify
to
get
a
social
security
number,
they
can
apply
to
get
an
Individual
Tax
Identification
Number
(ITIN)
which
can
be
used
to
file
a
tax
return
or
complete
employment
documents.
Tax
compliance
can
be
crucial
if
the
undocumented
migrant
has
been
placed
in
removal
proceedings,
which
is
the
current
term
for
deportation.
If
their
only
hope
for
relief
is
cancellation
of
removal
for
certain
nonpermanent
residents,
their
tax
returns
can
be
used
to
prove
10
years
of
continuous
residence
in
the
U.S.
before
receiving
the
notice
to
appear
in
immigration
court
and
to
show
that
they
are
a
person
of
good
moral
character.
A
conviction
of
tax
evasion
or
filing
false
tax
returns
is
considered
a
crime
of
moral
turpitude
and
can
automatically
bar
cancellation
of
removal
relief.
It
should
be
noted
that
even
if
the
applicant
is
tax
compliant,
they
will
have
to
show
that
their
removal
would
create
an
exceptional
and
extremely
unusual
hardship
to
the
applicant’s
U.S.
citizen
or
permanent
resident
spouse,
parent,
or
children.
Unfortunately,
this
has
been
known
to
be
very
difficult
due
to
the
stringent
standards
set
by
three
Board
of
Immigration
Appeals
decisions.
It
is
unclear
how
the
IRS
will
respond
to
Noem’s
request
for
assistance.
Even
though
tax
return
information
is
generally
confidential,
chances
are
that
the
IRS
and
its
criminal
investigation
division
will
collaborate
to
shut
down
criminal
human-trafficking
rings
and
curb
illegal
immigration.
Undocumented
migrants
should
consult
with
an
immigration
attorney
to
find
ways
to
obtain
legal
status
or
fight
a
removal
proceeding.
In
either
case,
being
tax
compliant
can
help.
Steven
Chung
is
a
tax
attorney
in
Los
Angeles,
California.
He
helps
people
with
basic
tax
planning
and
resolve
tax
disputes.
He
is
also
sympathetic
to
people
with
large
student
loans.
He
can
be
reached
via
email
at
[email protected].
Or
you
can
connect
with
him
on
Twitter
(@stevenchung)
and
connect
with
him
on LinkedIn.