Do illegals pay taxes in this story illegals are paid in cash is this what many employers do?

[iden]

Chicago - Executives of two northwest suburban businesses have been charged by the federal government with hiring illegal aliens to supply temporary labor to warehouses.

Clinton Roy Perkins, 65, and his son-in-law, Christopher J. Reindl, 40, both of St. Charles, are president and office manager, respectively, of Anna II Inc. and Can Do It Inc., both located at 801 Golf Ln. in Bensenville. They have been charged with one count each of unlawfully hiring illegal aliens, according to a release from the U.S. Attorney's office.

In addition to hiring illegal workers, the defendants allegedly paid their workers’ wages in cash and failed to deduct payroll taxes or other withholdings, according to a single-count criminal information filed in U.S. District Court, the release said.

The firms provided skilled and unskilled labor, including janitorial services, loading and unloading of freight packages and merchandise and installation and removal of structures inside warehouses to clients that operated warehouses in various suburbs. Perkins and Reindl allegedly failed to require aliens to provide documents establishing immigration status or lawful right to work, the release said.

Between October 2006 and October 2007, they directed low-level supervisory employees to transport aliens back and forth between locations near the aliens’ residences in Chicago and work sites in the suburbs, the charges allege. Both also allegedly provided bogus six-digit numbers -- purporting to be the last six digits of Social Security numbers -- to a company, knowing that their workers were in the country illegally and did not possess valid Social Security numbers.

The charges also allege that Perkins and Reindl repeatedly withdrew funds in the amount of $9,800 from bank accounts to pay employees’ wages in cash, believing that withdrawing amounts less than $10,000 would avoid triggering the banks’ currency transaction reporting requirements, the charges allege.

Perkins and Reindl will be arraigned at a later date in U.S. District Court in Chicago, the release said. The charges seek forfeiture from Perkins of $488,095, seized from various bank accounts and at the Bensenville office.

http://www.myfoxchicago.com/dpp/news/metro/20100426-charges-illegal-immigrants-warehouse
Will Team Obama just fine the company and there will be no prison time as this is how I am seeing Obama approach companies found hiring illegals giving only a fine ? Should the employer also be brought up charges of tax evasion charges as well ?

[chason62]

Once illegal aliens hit this country, half of them work off the books and do not pay $615 billion dollars annually according to the 2009 Bear Stearns Report.

Additionally, they form the second largest underground economy in the world. Both legal and illegal immigrants send $90 billion back to their home countries in cash transfers on untaxed money.

[darvell]

Shouldn't all employers who hire illegals be sentenced to jail? A most effective, and inexpensive, way of solving the problem of illegals in the US.

[montgomery69]

The fact is that some don't and it's not right or fair to the rest of us tax payers.

[curney13]

Most illegals have fake SS numbers

the US takes in 10 billion a year in payroll taxes on people that dont exist

[torin7]

YES ILLEGALS PAY TAXES.. AND I HAVE A QUESTION FOR YOU... WHICH COMPANY PAYS CASH CUZ DAMN I CANT FIND ONE???? LOL : )

[norwyn]

yes they do pay taxes, with ITIN numbers.

"Illegal immigrants are paying taxes to Uncle Sam, experts agree. Just how much they pay is hard to determine because the federal government doesn't fully tally it. But the latest figures available indicate it will amount to billions of dollars in federal income, Social Security and Medicare taxes this year. One rough estimate puts the amount of Social Security taxes alone at around $9 billion per year.

Paycheck withholding collects much of the federal tax from illegal workers, just as it does for legal workers.

It's a mistake to think that no illegal immigrants pay taxes. They definitely do," said Martha Pantoja, who has been helping Hispanic immigrants this tax season as an IRS-certified volunteer tax preparer for the non-profit Nashville Wealth Building Coalition.

Among those she has assisted is Eric Jimenez, a self-employed handyman who has worked in Nashville for several years. He feels obliged to pay taxes — even though, as Pantoja said, "nothing would happen" to him if he did not."

Pantoja said she has helped a number of construction workers who, because they are classified as independent contractors by their employers and have no taxes withheld, owe big tax bills come April. Beyond income tax, they have to pay the full Social Security and Medicare taxes due.

The Social Security Administration estimates that about three-quarters of illegal workers pay taxes that contribute to the overall solvency of Social Security and Medicare.

The agency estimates that for 2005, the last year for which figures are available, about $9 billion in taxes was paid on about $75 billion in wages from people who filed W2 forms with incorrect or mismatched data, which would include illegal immigrants who drew paychecks under fake names and Social Security numbers."

read more here
http://www.usatoday.com/money/perfi/taxes/2008-04-10-immigrantstaxes_N.htm

[sceley]

The reality is that a huge amount of unclaimed reimbursements are paid by those working illegally in the country.

NOT ONLY income tax, but sales tax, which in AZ pays for our schools, police and other public service. We do not have school tax.

When those spending the money, move to another state due to this new "law" as well as those like my self who now feels embarrassed by even LIVING here, and by big business and tourists boycotting our state, we are going to be hurting.

THANKS JAN BREWER

[baigh]

Many illegals do not pay taxes, but if they get hurt or become ill, they go to emergency rooms and are treated for free. That's why health care reform was so important. It's really not the immigrant's fault. If the employer followed the law, and didn't hire them, they wouldn't be here in the first place.