As April 15th draws near, New York City Chinese are lining up at post offices to file their taxes and receive a postmark before the impending deadline. More and more are utilizing computer software to file their returns online. However, tax accountants in Manhattan's Chinatown reveal that this year, despite President Obama's promises for immigration reform, undocumented immigrants are much less active than before in filing tax returns.
In the past several years, there has been a rise in the number of undocumented immigrants filing tax returns. But after the failure of the previous administration and Congress' frequent attempts to initiate immigration reform, undocumented immigrants have lost confidence in the idea of receiving legal identity and welfare.
Steven Wong, president of the Lin Ze Xu Foundation, says that in previous tax seasons many new Chinese immigrants have asked him whether to file tax returns. He has encouraged them to truthfully report their income, so as to accumulate a work record, which could be helpful when applying for legal status and retirement benefits later on. However, Wong says, recent news that immigration-enforcement authorities in Colorado and other states have been using records from local tax bureaus to track down and arrest undocumented immigrants has caused great consternation among new immigrants, who fear that filing taxes could reveal their undocumented status and bring about unfortunate consequences. Regarding Obama's promises for immigration reform, Wong says that many Chinese doubt they will be fulfilled, and thus there has been no increase in tax-filing activity.
Accountant Chen Xiulan says that the Chinese frequently wait until the last minute to file taxes, making things hectic for accountants like her. After the 2008 financial crisis, she says, the government's addition of some new tax benefits has increased her workload as well. With even more benefits and subsidies this year, 2009's tax situation could be even more complicated; Chen urges the Chinese to plan ahead and file their taxes early.
Ms. Zhang, a New York resident who finished her taxes back in February, says that she has already received the check for her federal tax rebate. As the deadline approached, she was able to sit on the sidelines and relax as her friends and relatives rushed about at the last minute. Some individuals who fail to meet the deadline have no choice but to apply for an extension; the deadline can be pushed as late as October 15. A Fujianese tax accountants' group on East Broadway says that many Chinese restaurant-owners come from out of state to handle their taxes there, and as a result they are particularly busy during tax season.
Fukien American Association director Xue Jinguan says that some Fujianese immigrants mistakenly thought that the tax deadline had been extended for two weeks. They were quite chagrinned when they learned that this news was false.
