On Thursday’s episode of “Mornings with Maria” on FBN, Sen. Rand Paul (R-KY) discussed how illegal immigrants might exploit refundable tax credits.
He referred to these credits as “welfare,” indicating that they can be accessed by illegal immigrants if their children are born in the U.S.
“Refundable tax credits are essentially welfare,” Paul stated. “The child tax credit and the income tax credit aren’t really earnings; they’re just welfare payments. This money doesn’t come out of your own taxes; it comes from someone else’s. We’re talking about around $100 billion here, with a fraud rate close to 25%. If your parents entered the country illegally, you can still receive child tax credits simply because you were born here.”
He emphasized the need for comprehensive reform. “We shouldn’t continue with refundable tax credits. We need to label them as welfare and evaluate how much welfare is distributed. There’s already a significant amount of it, and spending cuts are necessary. The Federal Reserve needs additional funds.”
Paul went on to suggest, “We need to redistribute costs. This doesn’t mean cutting Medicaid entirely, but states should be responsible for at least half of Medicaid expenses. Right now, many states only contribute about 10% for Medicaid enrollees.”
