The National Academy of Sciences has released a new report detailing the long-term costs of immigrants and their offspring to taxpayers. The report claims that enactment of amnesty for the millions of undocumented immigrants already living in the US would cause an immediate tax increase of $1.29 trillion. This sum would have to be put in a high-yield bank account to cope with any future losses generated by the amnesty recipients and their children.
Every household in the US currently paying income tax would likely have to pay an immediate lump sum of around $15,000, on average, to cope with the future cost. This is according to The Economic and Fiscal Consequences of Immigration report, which offers fiscal balance projections for the next 75 years for immigrants and their descendants.
Federal, local and state taxes and benefits are incorporated into the estimates. The National Academy of Sciences report released a couple of weeks ago, showed that the education level of immigrants was an important factor in their fiscal balance. Those with low education imposed heavier fiscal costs, which continue into the future. The taxes paid by these immigrants will most likely be exceeded by the government benefits they will receive.
There is believed to be an estimated 10 million undocumented immigrants residing in the US, with almost half lacking a high school diploma. The granting of amnesty that included citizenship would provide access to many more government benefits and entitlements.