Trump Admin Axes Refundable Tax Credits for Illegal Migrants, Saving Taxpayers $3B

The Trump administration is cutting illegal immigrants off from getting kickbacks from four major refundable tax credit programs – in a move that could save taxpayers an estimated $3 billion.

The Treasury Department and IRS unveiled new rules on Wednesday to tighten the requirements for the adoption, child, American opportunity, and earned income tax credits so that only US citizens, US nationals, and qualified aliens can get them.

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The administration’s new rule specifically targets the refunded portion of those tax credits. They would still be allowed to use the credits to offset their federal income tax liability.

Nearly 1 million people would be ineligible for the “refunded portion of the affected refundable individual income tax credits” due to the rule change, the Trump administration has estimated.

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