OLYMPIA, Wash. -- Washington state lawmakers want to open up a working class tax credit to more residents, including people who are undocumented, student visa holders and some survivors of domestic violence.
Although the Working Families Tax Credit was passed in 2008, it has yet to receive funding -- presenting a major roadblock for lawmakers on this issue.
Despite this challenge, lawmakers are hoping filers who use an Individual Taxpayer Identification Number, or ITIN, in place of a Social Security number also can benefit from the program.
State Rep. My-Linh Thai, D-Bellevue, one of the bill's sponsors, says folks who are undocumented and working are contributing to the economy.
"They are working and paying tax in our system," she points out. "So, to me, it's a matter of fairness and making sure that those who deserve the benefits that the state put out for people receive them as well."
Supporters of the Working Families Tax Credit say it could help balance Washington's regressive tax code, where the majority of the burden falls on low-income Washingtonians.
The Senate version of this bill is scheduled for a public hearing on Tuesday.
According to the Washington State Budget and Policy Center, the Working Families Tax Credit would reach about 30% of residents and provide an average income boost of $350. The group also finds expanding the credit to ITIN filers would benefit 53,000 households.
"Folks filing with an Individual Tax ID Number are people who are largely immigrant populations who have proactively signed up with the federal government for the purpose of paying their federal income taxes," says Misha Werschkul, the center's executive director.
Werschkul notes domestic violence survivors use an ITIN to protect their identity from their abusers.
The Institute on Taxation and Economic Policy estimates in 2017, undocumented immigrants in Washington contributed more than $300 million in local and state taxes.
"People that are undocumented are our friends, our neighbors, they're our family members, and they're really an important part of our community -- not to mention that they play a really important economic role in all kinds of fields," points out Robin Engle, communications and development director of OneAmerica, a group that advocates for immigrant rights.
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Hundreds of international college students in Texas are fighting to stay in the country after their visas were revoked and their legal status changed by the federal government.
The Trump administration said the moves are part of its efforts to remove international students who have participated in pro-Palestinian protests or who have criminal offenses.
Kelly Cobb, partner and business immigration attorney in the Jackson Walker Law Firm in Houston, said many of the students targeted do not fit into either category. She explained students are being advised to file temporary restraining orders against ICE.
"Normally there would be some due process, they would understand why this is happening," Cobb pointed out. "For many of the students, they don't know why this is happening. This has been really unprecedented, unexpected and really fast."
Texas has more than 80,000 international students who contribute about $2 billion to the state's economy. Cobb added international students do not receive financial aid or grants and without their tuition and fees universities would suffer.
Information about international students is maintained in the Student and Exchange Visitor Information System. Cobb noted universities are usually the ones making changes to a student's status but now they are coming from outside the college system.
"The federal government is going in there and basically revoking status," Cobb stressed. "There are questions as to 'why are you picking certain people?' We've heard about individuals being picked up off the street or taken from their homes. It's like 'Hey your status has been canceled here.'"
She pointed out many attorneys are taking on pro bono cases to help students complete their studies and added everyone benefits from the student exchange programs.
"We're getting the best and the brightest in a lot of fields and I think that has helped the United States remain leaders in innovation in medicine and technology," Cobb contended. "We collaborate with different entities all over the world based upon these foreign students, so it all is very collaborative."
Support for this reporting was provided by Lumina Foundation.
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President Donald Trump continues his pressure campaign on immigrants -- both documented and undocumented -- disrupting the lives of many in Virginia.
As the administration revokes thousands of visas of legal immigrants, the Social Security Administration has reportedly moved thousands of names to what's known as its "death master file." The move essentially stops a person's ability to work, open a bank account or apply for a credit card.
Monica Sarmiento, executive director of the Virginia Coalition for Immigrant Rights, said the actions hinder people's ability to contribute to society, including the more than 17% of immigrants in Virginia's workforce.
"Most immigrants are here because they want a better life for themselves and their families, and want to contribute willingly and pay taxes," Sarmiento contended. "For that, they need a Social Security number."
This month, the Internal Revenue Service said it would share information on undocumented taxpayers with Immigration and Customs Enforcement. Administration officials have defended the policies, saying they will encourage affected migrants to "self-deport" to their home countries.
But advocates like Sarmiento countered immigrants of all status levels pay taxes, often in an effort to contribute to the country.
"Immigrants pay taxes," Sarmiento stressed. "They don't just want to pay taxes, they actively pay taxes. And lots of immigrants, undocumented immigrants -- it has been very well recorded -- pay billions of dollars in taxes every year, as well as noncitizen residents of the United States."
According to the American Immigration Council, undocumented immigrants alone in 2023 contributed nearly $90 billion in taxes to their federal, state and local governments.
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Tax filing season has wrapped up but the backlash over a new IRS policy concerning undocumented individuals is not going away.
A retired agency official from Illinois said her heart breaks for the people she served over the years. A deal has been struck between the IRS and the Department of Homeland Security to share the sensitive taxpayer information of those facing deportation. Officials said locating "violent criminals" is part of the goal.
Yolanda Ruiz worked for the IRS for 33 years doing outreach work in Latino communities, including tax-filing workshops. She would stress submitting a return would not overlap with immigration enforcement.
"In that outreach, I would always reassure undocumented immigrants that we would not share their personal information with ICE," Ruiz recounted. "And I also encouraged filing and paying their taxes, because it could ultimately help them with legalization and citizenship."
She explained their application approval odds might improve if they showed consistency in paying taxes. Researchers noted people without legal status pay income taxes through a specialized number. In 2023, those households paid nearly $90 billion in taxes. But Ruiz, who is not speaking for the agency, worries the new agreement will undo the trust those like her worked so hard to build.
Ruiz agreed with immigrants' advocates who said some people are now afraid to file tax returns, which could mean less revenue for the federal government, potentially limiting community resources. She added she was devastated upon hearing the news about a policy opposite of the long-standing approach in serving immigrants.
"I really can't help but to feel like I let them down," Ruiz explained. "My heart hurts and I pray for the immigrants."
The fallout is being felt within the agency, too, with the acting IRS commissioner reportedly resigning this month because of the agreement with Homeland Security.
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