Immigrants & Immigration

The Internal Revenue Service (IRS) requires all workers in the US to pay taxes on their income. People must pay income tax even if they are an undocumented immigrant and not in the US lawfully. If someone is undocumented, it may be a crime to work in the US and not pay income taxes. 

To pay taxes, people must file tax returns. They may be eligible for refunds of the federal and state taxes taken out of their paycheck. People can only get these refunds if they file taxes.

To pay income taxes, an undocumented immigrant must have an individual tax identification number (an ITIN).  An ITIN is a 9-digit number issued by the IRS to people who must pay taxes but don't have and are not eligible to receive a Social Security Number A number that the federal government gives to each U.S. citizen. It keeps track of their earnings and retirement benefits. (SSN). An ITIN does not provide people  with legal immigration status or work authorization. 

To apply for an ITIN for the first time, a person must also submit their federal tax returns. Once a person receives their ITIN, they can also file their state income tax returns using their ITIN.

Learn more about filing taxes with an ITIN.

They may share taxpayer information with the Department of Homeland Security Immigration and Customs Enforcement (ICE). The IRS is generally not allowed to share taxpayer information with other federal agencies. They can only share information if a non-tax related federal criminal law is at issue. 

In April 2025, the IRS signed an agreement to provide information to ICE about certain taxpayers when ICE requests it. ICE must include specific information in their request to the IRS including:

• The taxpayer’s name and address,
• The non-tax federal criminal law that the taxpayer is being investigated for violating, and
• Why ICE needs information from the IRS for their criminal investigation.

If ICE does not provide all the required information about a taxpayer to the IRS, then the IRS cannot legally share the information with ICE. ICE says the non-tax federal criminal law issue they are investigating are people who have final removal orders, and people who failed to leave the US after 90 days.

As of February 26, 2026, ICE cannot use this agreement to get information from the IRS. A federal court has stopped ICE and the IRS from being able to share information under this agreement. ICE also cannot use any taxpayer information they have already received under the agreement for immigration enforcement.

Even if the IRS shares information with ICE, people are still required to pay taxes. There can be severe penalties for failing to file tax returns when someone is supposed to. It is recommended that people speak with an immigration lawyer Someone who represents clients in courts or who gives legal advice about their specific immigration and tax situation.

It is illegal to use false information to obtain or find work. Even if a person uses false information, like a false name or social security number, A number that the federal government gives to each U.S. citizen. It keeps track of their earnings and retirement benefits. any income obtained using false information must still be reported on income tax returns.

The IRS has the Volunteer Income Tax Assistance (VITA) program that offers free basic tax return preparation to qualified individuals, at many locations. Generally, a qualified individual is:

• Someone who makes $69,000 or less a year,
• A person with a disability, A substantial impairment that functionally limits a person in carrying out major life activities, such as walking, lifting, seeing, or learning. or
• A person who speaks limited English.

VITA services are free and are a reputable source for preparing tax returns. VITA provides assistance in many locations throughout the US.

For help filing Illinois state taxes, go to the Illinois Department of Revenue Taxpayer Answer Center.