Taxes are an important issue when opening an immigration case. That’s why IACO’s tax program is focused on guiding and assisting the community. Our program is authorized by the Internal Revenue Service (IRS) to electronically prepare and submit tax returns.
If you need help with the ITIN application and the preparation of the tax form, come to our offices.
Taxes and Immigration
When it comes to paying taxes, undocumented immigrants adhere to the same obligation as U.S. citizens and legal residents. U.S. Federal Law requires that all people with income in the United States, regardless of their immigration status, pay taxes.
“Taxpayers are legally responsible for what’s presented on their tax form even if it was prepared by someone else,” the IRS says.
For the IRS, tax fraud is committed when the value of personal or business expenses is immediately increased, expenses are incurred that were not incurred to obtain deductions, ungranted credits are filed, or exceptions are listed to which you are not entitled.
Being charged with tax fraud or evasion is considered a federal crime that can be punished with more than five years in jail, and a fine of up to $250,000.
Complying with tax laws can open the doors of legalization to many undocumented people when an immigration reform is decreed. One of the requirements that the Immigration and Citizenship Services Agency (USCIS) requires is that applicants residing in the United States applying for adjustment of status is a copy of their income form filed with the Internal Revenue Service, IRS.
Since 1996, the IRS has created the Individual Taxpayer Identification Number (ITIN) so that foreigners and individuals ineligible for social security numbers could file their tax.
To apply for an ITIN, the person must include Form W-7 with their tax return. The ITIN application can be made in conjunction with the tax return when you do so for the first time. To renew an ITIN, people can submit the W-7 form at any time of the year. If the application is accepted, the IRS will send you a letter four to six weeks after the request is made. It will also return any documents you have submitted with your application. If after six weeks you do not receive a response from the IRS, the person may call the IRS at 1-800-829-1040 to find out the status of your ITIN application.