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Public Statements

King Re-Introduces New IDEA Act

Press Release

Location: Washington, DC

Congressman Steve King released the following statement after re-introducing the New Illegal Deduction Elimination (New IDEA) Act, H.R. 1292. New IDEA clarifies that wages and benefits paid to illegal immigrants are not tax deductible. It gives employers "safe harbor" if they use the E-verify program, which ensures employment documents identify lawful workers. When the IRS determines employees are illegal, the business expense for the wages and benefits paid to them will be denied and will instead become taxable income. When taxes are assessed, including interest and penalty, a $10/hour illegal worker costs the employer approximately $16/hour. New IDEA is serious about cracking down on illegal labor and leveling the playing field for law-abiding employers.

"The New IDEA Act is simple, yet that is what makes it effective at shutting down the jobs magnet that attracts so many people to enter the United States illegally," said King. "There are over 100 million Americans who are either unemployed or not in the work force. New IDEA fixes these problems and does so by actually increasing revenue and creating more taxpayers."

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