If a worker is paid under the table, there is no W-2 form generated, so the worker has no taxable earnings. For the same reason, the employer cannot deduct the worker's pay from his own taxable income and ends up paying taxes on the worker's pay as if it was a part of his own income.
2006-07-27 12:57:10
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answer #1
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answered by NC 7
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The process of paying taxes, for illegal immigrants, essentially involves owning up to their undocumented status. Many have gotten jobs with fake Social Security numbers. Their employers make deductions based on those numbers. So these immigrants file returns using legitimate taxpayer ID numbers, but the tax preparer must attach a W-2 showing the fake Social Security number so that the IRS knows how much is due or owed, according to H&R Block tax advisors.
many illegal immigrants have Social Security taxes withheld from their paychecks but are not entitled to collect any benefits. The Social Security Administration said $7 billion in payroll taxes had been credited to its trust fund from Social Security numbers that were either invalid or didn't match names in the agency's records. Undocumented workers are believed to make up a large portion of these contributors.
2006-07-27 12:36:12
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answer #2
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answered by jcarrera_9936 1
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There was a study years ago that money that is not taxed is worth less in spending power over the long run because it creates cheap money and affects the market value of a dollar.
If I'd thought I'd need to know this so many years ago I would have saved it.
2006-07-27 12:23:32
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answer #3
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answered by yars232c 6
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The employer is responsible for taxing the employees income, also the employee is responsible to pay the proper amount of tax on any income they receive.
2006-07-27 12:36:03
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answer #4
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answered by Anonymous
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Da both no pay taxs, da both should go to jail.
2006-07-27 13:56:19
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answer #5
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answered by meimmoody 3
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the worker doesnt pay the taxes....the money that the employer gets to pay the worker has already been taxed ..so its the worker that doesnt pay the taxes.....I know from personal experience...Great question....
2006-07-27 12:37:58
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answer #6
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answered by Jenny 3
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If you are asking "who isn't paying taxes?" it sounds like they both aren't. However, they are both still responsible to report the income and pay taxes on it, or else it is tax evasion and punishable with jail.
2006-07-27 12:23:59
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answer #7
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answered by pizzagirl 4
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i tink dat mudda ought ta b da 1 who is dat one ovr der, who tis da one who gives mo to da first biotch on da taxes..wut up
You gotsa speak to em in thier own languageeeeee...What a dork
2006-07-27 12:28:47
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answer #8
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answered by itsallover 5
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da both
2006-07-27 12:49:28
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answer #9
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answered by sly 4
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neither pays taxes.
2006-07-27 12:22:57
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answer #10
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answered by Anonymous
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