Civic Contributions: Immigrant Taxes in The DC Metropolitan Area The Woodrow Wilson International Center for Scholars Thursday, November 1, 2007 Michael.

Civic Contributions: Immigrant Taxes in The DC

Metropolitan AreaThe Woodrow Wilson International Center for Scholars

Thursday, November 1, 2007

Michael FixMigration Policy Institute

Almost Half of Cities with 1 Million or More

Foreign-Born Residents Are in the US

• 2004: over 1 million immigrants in DC area.

• 2000: they paid almost $10 billion in taxes.

• Immigrants’ share of taxes (18%) was almost as high as their share of households (21%) despite lower incomes ($78,000 vs. $88,000).

• Immigrants paid almost a quarter of all taxes in Montgomery and Fairfax counties.

• NOVA and suburban MD immigrants paid 8% of all state taxes in VA and MD.

Our Tax Study of DC Area Immigrants: Main Findings

Immigrants Paid $10 Billion in Taxes

TaxImmigrant

HouseholdsAll

Households% from

Immigrants

Total, all taxes 9,771 55,174 17.7%

Federal Taxes 7,030 40,183 17.5%

Income Tax 3,924 24,366 16.1% Social Security1

2,420 12,225 19.8%Medicare2

686 3,592 19.1%

State Tax 1,643 9,425 17.4%

Income tax 1,079 6,328 17.0% Sales tax3

418 2,326 18.0%Auto taxes and fees4

120 592 20.4%Tax on cigarettes and alcohol5 26 179 14.7%

Local Tax 1,098 5,566 19.7%

Real property tax6627 3,145 19.9%

Income tax7226 1,254 18.0%

Sales tax876 400 19.0%

Auto taxes and fees9121 511 23.6%

Utility and telephone taxes1048 256 19.0%

Medicare$686 million

7%

Local Taxes $1.1 billion

11%

Social Security$2.4 billion

25%

Income Taxes$3.9 billion

40%

State Taxes$1.6 billion

17%

72% of Taxes Paid by ImmigrantsGo to Federal Government

$9.8 billion in taxes, 1999-2000

Federal Taxes$7 billion

72%

Rate of Total and LEP Enrollment Growth:Rate of Total and LEP Enrollment Growth:From 1994 to 2005From 1994 to 2005

-20%

0%

20%

40%

60%

80%

100%

1994-95 1995-96 1996-97 1997-98 1998-99 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05

Maryland

Source: National Clearinghouse for English Language Acquisition & Language Instruction Educational Programs (NCELA), 2006

0%

20%

40%

60%

80%

100%

120%

140%

160%

180%

200%

1995-96 1996-97 1997-98 1998-99 1999-00 2000-01 2001-02 2002-03 2003-04 2004-05

Virginia

Source: National Clearinghouse for English Language Acquisition & Language Instruction Educational Programs (NCELA), 2006

Rate of Total and LEP Enrollment Growth:Rate of Total and LEP Enrollment Growth:From 1995 to 2005From 1995 to 2005

LEP Enrollment

Total Enrollment

$31

$26

$31

$27

$26

$13

Native-Born

Foreign-Born

NaturalizedCitizens

Legal PermanentResidents

Legal TemporaryMigrants

Unauthorizedand TPS

`

Note: Based on adjusted Census 2000 PUMS

Mean Household Taxes Paid, by Nativity and Legal Status

Mean Household Taxes Paid 1999-2000(in thousands of dollars)

$11 $12

$19

$36

$21

$45

No high school degree High school or somecollege

4-year college degreeor more

Native-Headed Households Immigrant-Headed Households

`


Mean Household Taxes Paid, by Nativity and Education of Household

HeadMean Household Taxes Paid 1999-2000(in thousands of dollars)

$34$29

$18$13$11

SpeaksEnglish at

home

SpeaksEnglish very

well

SpeaksEnglish well

Does notspeak

English well

Does notspeak

English at all

`


Mean Household Taxes Paid for Immigrant Households, by English Proficiency of

Household Head

Mean Household Taxes Paid 1999-2000(in thousands of dollars)

Natives = $31

DC ESL Need: LPRs

10,056 LPRs need English instruction

Assuming 110 hours to increase one ESL level

• 462 thousand hours per year ESL to bring LPRs to English proficiency

• 2.8 million hours over 6 years to reach English proficiency

Source: MPI tabulations of 2000 Census data and 2005 CPS, with imputations of legal status by Urban Institute

VA ESL Need: LPRs



• 3.1 million hours per year ESL to bring LPRs to English proficiency



MD ESL Need: LPRs



• 2.5 million hours per year ESL to bring LPRs to English proficiency



DC ESL Need: Unauthorized

14,939 unauthorized immigrants need English instruction


• 690 thousand hours per year to unauthorized to English proficiency



VA ESL Need: Unauthorized



• 4.4 million hours per year to unauthorized to English proficiency



MD ESL Need: Unauthorized



• 3.1 million hours per year to unauthorized to English proficiency



Employed College-Educated WorkersEmployed College-Educated Workersin in Unskilled Occupations by Nativity:

DC / VA / MD, 2005/2006 2005/2006

21%

26%

34%

14% 13%

31%

39%

15%

22%

US born Europe* Latin America Asia Africa

Long-term immigrants (arrived prior to 1996)

Recent immigrants (arrived in 1996 or later)

US born

Source: American Community Survey, pooled 2005 and 2006Notes: *Refers to persons from Europe, Canada, and Oceania.

Percent of college-educated workers in unskilled occupations

14%

US born Europe* Latin America

Asia Africa

Find data, reports and other analysisby state and for the nation at

www.migrationpolicy.org

… 2006 ACS data and newdatabases coming online soon!

www.migrationpolicy.org/DataHub

For More Information

For more information, contact:

Michael FixVice President

Migration Policy Institute1400 16th Street, NW

Washington, DC 20036

(202) 266-1940(202) 266-1940www.migrationpolicy.org

Civic Contributions: Immigrant Taxes in The DC Metropolitan Area The Woodrow Wilson International Center for Scholars Thursday, November 1, 2007 Michael.

Documents

immigrant taxes

auto taxes

state taxes

telephone taxes

taxes tax immigrant

us slide

english instruction

english proficiency