Report: Undocumented immigrants paid nearly $72M in Idaho, local taxes in 2022

Kyle Pfannenstiel, Idaho Capital Sun

BOISE (Idaho Capital Sun) – In 2022, undocumented immigrants paid $71.9 cardinal successful Idaho authorities and section taxes, a caller study found.

That intends undocumented immigrants — successful Idaho, and 39 different states — paid higher authorities and section taxation rates than nan apical 1% of households surviving successful those states, according to a study by nan Institute connected Taxation and Economic Policy.

The study “shines a ray connected really undocumented immigrants salary higher taxation rates than nan apical 1 percent successful Idaho,” May Roberts, argumentation expert astatine nan Idaho Center for Fiscal Policy, said successful a news merchandise Thursday. “This accusation is important for lawmakers to see erstwhile making policies that impact our taxation building and undocumented folks surviving successful Idaho.”

The study recovered undocumented workers’ existent taxation complaint successful Idaho was 7.2%, compared to 6.4% for nan apical 1% of each taxpayers.

How do undocumented immigrants salary taxes?

Undocumented immigrants salary a operation of taxes, including income and excise taxes connected purchases, spot taxes, and individual and business income taxes, nan study said.

About 44% of undocumented immigrant’s taxation contributions successful Idaho, including section and authorities taxes, are done income and excise taxes, while 28% travel from spot taxes and 27% from income taxes, either individual aliases business, nan news merchandise said.

“This study is nan astir broad look astatine really overmuch undocumented immigrants salary successful taxes. And what it shows is that they salary rather a lot, to nan tune of astir $100 cardinal a year,” Marco Guzman, study co-author and elder argumentation expert astatine nan Institute connected Taxation and Economic Policy, said successful nan release. “The bottommost statement present is that sloppy of migration status, we each lend by paying our taxes.”

How overmuch would undocumented migrant taxes raise pinch activity authorizations?

In total, nan study recovered undocumented immigrants successful 2022 paid complete $96 cardinal successful taxes — including federal, authorities and section taxes. Most taxes, astir $59 billion, were paid to nan national government, while complete $37 cardinal went to states and localities, according to nan study.

On average, undocumented immigrants that twelvemonth paid $8,889 successful taxes.

But if each undocumented migrant was granted activity authorization, nan study projected their taxation contributions would summation by $40.2 cardinal each twelvemonth — pinch nan national authorities group to person astir $33 billion, while states and localities would person $7 billion.

Idaho’s yearly contributions, nether that scenario, would emergence from almost $72 cardinal to astir $89.9 million.

The study said Idaho’s undocumented population, estimated astatine 30,000 people, earned an aggregate income of astir $1 billion.

The study didn’t effort to measurement broader impacts “from nan accrued economical activity created by these individuals,” according to a news release. If those are taken into account, that would apt show undocumented immigrants “have an moreover larger value to nationalist revenues,” nan merchandise said.