Dreamers Pay More Than $6B In Taxes Annually For Benefits They Cannot Take Full Advantage Of

With the U.S. Presidential Election just a few weeks away, there’s a lot of focus on some of the hot-button issues. Among the most contested topics is immigration policy.

One particular point of contention is the Deferred Action for Childhood Arrivals program (or DACA).

Sitting U.S. President Donald Trump campaigned in 2016 on a promise to repeal DACA. He once spoke of DACA holder saying, “Some are very tough, hardened criminals.” But in spite of his clear stance on the program and years-long effort to dismantle it, he’s been largely unable to affect meaningful change. Still, more than a third of his voters want to see the program ended.

But where does this disdain for the DACA program stem from?

Part of it, at least, is the misconceptions that Dreamers take away jobs from American citizens while not contributing to taxes or the economy.

It’s been widely covered that Dreamers do in fact pay taxes in the U.S. (you can read up on that here). What’s less covered, though, is how much DACA holders contribute to taxes and how much of their wages are pumped to the economy and into taxes.

With the DACA conversation about surely about to catch a new wind as the election approaches, we decided to dig into the data. We wanted to find out the actual impact of Dreamers on the U.S economy and tax funds in millions of dollars.

But what we found were numbers in the billions.

DACA Holders Contribute Billions in Taxes for Benefits They Do Not Get

One metric for measuring the economic impact of any group is to look at how much they are paying towards income taxes.

According to the Institute on Taxation and Economic Policy, the average salary of a DACA recipient in the U.S. is $36,231. With a base tax rate of 24%, they pay $8,695 each per year in taxes.

With approximately 700,000 Dreamers in the U.S., that’s a total income tax contribution of $6,086,808,000 per year for all DACA holders currently working in the U.S.

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