Originally posted by: Slew Foot
And income tax is a much larger percentage of a person's tax burden than sales tax, how do illegals pay income tax when they're working under the table?
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Regarding this point, most undocumented laborers are not paid "under the table" per se.
Most often, employers still have to account for their payroll, so the undocumented are given fake Social Security numbers and the employer withholds the legally required Medicare and Social Security taxes.
Since undocumented workers have no way to reclaim these taxes, the result is a windfall for the Social Security Fund.
Since undocumented workers cannot file tax returns, all of their withheld tax payments (which likely would have been refunded) remain in IRS coffers; again, a windfall for the system.
Since undocumented workers won't qualify for Medicare, the result is a windfall for the Medicare system.
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