Undocumented immigrants in New York State pay more than $1 billion in state and local taxes—an amount that will increase once President Barack Obama’s administrative relief program on immigration is allowed to move forward, a new report shows.
“Undocumented Immigrants’ State and Local Tax Contributions,” produced by the Institute on Taxation and Economic Policy, comes one day before a three-judge panel is slated to hear arguments to stay a temporary injunction on administrative relief.
In 2012, undocumented immigrants bolstered coffers in New York State by an estimated $1.1 billion, according to the report. Once administrative relief is fully in place, the state is expected to receive an additional $86 million. A comprehensive immigration reform policy would increase revenues even further.
Undocumented immigrants pay state and local taxes through a number of means, including sales tax on purchases, property taxes (either directly or indirectly through rent), as well as state income tax.
The report is being co-released by the Fiscal Policy Institute, and details the substantial tax revenues currently generated by undocumented immigrants, broken down by state. The report only examines state and local taxes, not federal contributions.