Latest news with #IndividualTaxpayerIdentificationNumber
Int'l Business Times
4 days ago
- Business
- Int'l Business Times
The ITIN Lady: Sirius Tax Group Founder Is a Tax Expert Who Puts People First
For many, tax season is a time of stress, confusion, and often, fear. The IRS can feel like an intimidating entity, full of complex rules and red tape. Now imagine facing that same system as a non-U.S. citizen, someone unfamiliar with the intricacies of U.S. tax laws, unsure of how to navigate the requirements. That's where Sydney R. Smith, MBA, CAA, steps in, not just as a tax advisor and professional but as a guide, an advocate, and a reassuring presence in an often overwhelming process. But Sydney, president and founder of Sirius Tax Group , didn't enter the tax industry simply for the numbers. In fact, her approach to tax advisory is built on a deep understanding of culture, human interactions, and the challenges people face when navigating the American tax system, especially those coming from outside the U.S. As a Certified Acceptance Agent (CAA), she has spent years guiding international clients through the complexities of obtaining an Individual Taxpayer Identification Number (ITIN) and ensuring they meet compliance requirements while setting them up for long-term success. Sydney R. Smith Sydney's deep appreciation for cultural diversity is rooted in her own upbringing. As the daughter of a U.S. Air Force Major, she grew up living around the world. Her father would bring back dolls from Japan, Spain, and other countries, planting the seed for her fascination with international cultures. Even as a young girl watching businesspeople on TV—she told herself: "One day, I'm going to be important just like them." That early exposure to global perspectives shaped her approach to business. Sydney earned her undergraduate degree in management, where she developed a passion for marketing and entrepreneurship. She later pursued an Executive MBA, further solidifying her expertise in cross-border leadership, backstage culture, and international business. Her professional journey has been just as diverse as her upbringing. From running a home-based natural skincare business while raising her children to transitioning into business consulting, she has always prioritized human connection in her work. Sydney states, "I loved working with people. But then I realized that adding tax services into my consulting business is actually working with people and that to be the best consultant, especially for small businesses, I had to add tax. So many professionals in this space forget about the people behind the tax forms. But when you take the time to understand them—their culture, their goals, their fears—you create real solutions." Sydney became a CAA in 2013, a designation that allows her to help foreign nationals obtain ITINs—for those who need to file taxes in the U.S. but aren't eligible for a Social Security Number. It was in this role that she truly found her passion. "Most Americans are intimidated by the IRS. Now imagine being someone new to this country, trying to make sense of it all," she says. "I don't just process paperwork; I educate, I guide, and I reassure my clients that they're in good hands." Her clients come from every corner of the world—India, Saudi Arabia, France, the Philippines, Ethiopia, Australia, Jamaica, and beyond. Each case is unique, requiring tax expertise and an understanding of specific visa characteristics and international norms. Sydney takes the time to understand their short-term, medium-term, and long-term goals. "I always ask my clients, 'Do you have plans to stay in the U.S. long-term? Do you want to bring your family over? Do you eventually want to become a citizen?'" she explains. "When I know what they want, I can develop a tax strategy that aligns with their future." Her role extends far beyond paperwork and tax season. She's helped clients navigate visa-related tax implications and guided them through the steps needed to secure permanent residency. Her ability to connect with people from all walks of life has earned her the title of "The ITIN Lady" among her clients and peers. Her fluency in cultural norms is one of her greatest strengths. "Whether it's an H-1B ITIN visa applicant from India, an F-1 student visa holder from Albania, or an O-1 visa holder from Chile, I know the appropriate steps to take, including researching tax treaties," she says. "Every culture navigates conversations differently, and my job is to make them feel comfortable while ensuring they comply with IRS guidance and directives." Sydney is now closely monitoring the proposed Gold Visa introduction and the traction it may gain. While there is a debate and uncertainty, she says, " I think that this proposed visa will run parallel to the EB-5 visa, rather than replace it. Chiefly, because the target audience for both is different. The Gold Visa has a requirement of $5 million, while EB-5 requires $800,000 to $1.05 million." Sydney's impact goes beyond her own clients. She's committed to improving industry standards and educating other professionals in the tax industry. She has presented at industry events, training tax advisors, professionals, and attorneys on best practices for working with ITIN clients. She says, "I'm bridging cultural gaps by sharing my knowledge with other professionals so they can serve their clients with the same level of care and expertise." Looking ahead, Sydney R. Smith remains committed to her dual mission: empowering clients and improving industry norms. To further her mission, she's currently writing a book for tax advisors, professionals, and attorneys. With her book in the works and her continued involvement in educating fellow professionals, she hopes to inspire a new wave of tax experts who harness the human connection. "At the end of the day, this work isn't just about tax codes and compliance," she says. "It's about people—their dreams, their futures, and their journeys. And if I can make that journey easier for them, then I know I'm doing exactly what I was meant to do."
Yahoo
15-04-2025
- Politics
- Yahoo
IRS agreement with ICE to share immigrants' info could lead to billions less in tax revenue
Like millions of American citizens and immigrants, Ivan filed his taxes last year. But Ivan, 54, a Massachusetts resident who hails from Colombia, is worried a recent agreement between the IRS and Immigration and Customs Enforcement means he is in danger of being deported for doing what he believed was the right thing. And if taxpayers like Ivan decide not to file taxes because the IRS has said it will share certain tax information filed by undocumented immigrants with ICE, it could cumulatively eliminate billions in tax revenue and create 'a massive problem' for citizens and immigrants alike, experts said. Undocumented immigrants paid $96.7 billion in federal, state and local taxes in 2022, according to the Institute on Taxation and Economic Policy, a nonprofit, nonpartisan tax policy organization. About $59.4 billion of that went to the federal government and $37.3 billion to state and local governments, according to the group's analysis. It found that even a 10% decrease in the number of undocumented immigrants filing their taxes would mean a decrease of $9.5 billion a year in tax revenue. 'The biggest issue from a revenue standpoint is that opening up tax records for immigration enforcement is going to reduce tax compliance of immigrants, whether undocumented or not, and that will have a significant impact on tax revenue,' said Tom Bowman, a policy counsel with the Center for Democracy and Technology's security and surveillance project. The agreement between the IRS and ICE is a break with the longtime precedent of the federal government's telling people that tax information would not be used against undocumented people to seek their deportation. Lawyers, advocates and other immigrants have also spread the same message — only to have that sense of safety come crashing down for undocumented immigrants like Ivan under the new Trump administration policy. 'It's like a broken promise. It's like a betrayal,' Ivan said in Spanish. He asked that his full name not be used out of fear of deportation. Assistant DHS Secretary Tricia McLaughlin said in a statement that President Donald Trump is doing what should have been done all along, sharing information across the government 'to solve problems.' McLaughlin has previously said, 'Information sharing across agencies is essential to identify who is in our country, including violent criminals, determine what public safety and terror threats may exist so we can neutralize them, scrub these individuals from voter rolls, as well as identify what public benefits these aliens are using at the American taxpayer expense.' Undocumented immigrants and people without Social Security numbers can pay their taxes with the Individual Taxpayer Identification Number, which the IRS created in 1996. To seek a person's tax information, ICE needs to include certain data in its request to the IRS, including the person's name and address, the alleged offense the person is being investigated for and the reasons disclosing the tax information is relevant to the criminal proceeding or investigation, according to a court filing. Tax and immigration experts said the change could both erode the public's trust of the government and lead to a decrease in tax compliance. 'This is not just an attack on undocumented immigrants. It's an attack on all people who call this country home,' said Murad Awawdeh, the president and CEO of the New York Immigration Coalition. ICE did not immediately respond to request for comment about the policy. Neither did the Treasury Department, which the IRS is part of. The Institute on Taxation and Economic Policy estimated what would happen if more undocumented immigrants did not pay their taxes. It found that for every 10-percentage-point drop, tax revenues would decrease by $9.5 billion annually, with $8.6 billion of that coming from federal funds and an additional $900 million from state and local tax revenue. 'That's going to have trickle-down effects that are going to place increased financial burdens on citizens across the country,' Bowman said, adding that it would decrease the revenue available to go to major federal programs such as Social Security and Medicare, which undocumented immigrants are not even eligible for. 'The implications are just massive,' he said. On an individual level, 'it feels like being stabbed in the back,' said a 30-year-old Brazilian asylum-seeker who asked that his name not be used for fear of being deported. He added that he has filed taxes for years. 'Most of us want to file taxes and comply with the law. Now we're at risk with our lives on the line.' He said he did not know whether he would pay taxes this year. Ivan also said he is undecided because he fears being deported. 'It's a constant terror for immigrants,' he said. 'They're not only taking criminals. They want to take everyone, people who are working and contributing to this country.' There have been stringent taxpayer privacy laws after former President Richard Nixon sought to use IRS information to go after his political opponents. 'Its origin was to prevent the weaponized use of tax data against political opponents and perceived enemies,' Bowman said. Angela Divaris, an attorney with Greater Boston Legal Services, which provides free legal services, said people who prepare taxes for large immigrant communities nationwide reported both fewer first-time tax filers and returning filers so far this year. Divaris said attorneys have also been reaching out for guidance about how to educate immigrants about paying their taxes and explaining the new potential risks associated with doing so. Attorneys and advocates who have counseled undocumented immigrants are also feeling an 'enormous feeling of guilt and concern,' Bowman said. 'For decades, lawyers and civil society organizations have been telling undocumented immigrants to file your taxes to demonstrate financial responsibility for use in immigration proceedings and to assimilate into life in the United States,' he said. 'Now there's a question as to whether that's good advice.' This article was originally published on
NBC News
15-04-2025
- Politics
- NBC News
IRS agreement with ICE to share immigrants' info could lead to billions less in tax revenue
Like millions of American citizens and immigrants, Ivan filed his taxes last year. But Ivan, 54, a Massachusetts resident who hails from Colombia, is worried a recent agreement between the IRS and Immigration and Customs Enforcement means he is in danger of being deported for doing what he believed was the right thing. And if taxpayers like Ivan decide not to file taxes because the IRS has said it will share certain tax information filed by undocumented immigrants with ICE, it could cumulatively eliminate billions in tax revenue and create 'a massive problem' for citizens and immigrants alike, experts said. Undocumented immigrants paid $96.7 billion in federal, state and local taxes in 2022, according to the Institute on Taxation and Economic Policy, a nonprofit, nonpartisan tax policy organization. About $59.4 billion of that went to the federal government and $37.3 billion to state and local governments, according to the group's analysis. It found that even a 10% decrease in the number of undocumented immigrants filing their taxes would mean a decrease of $9.5 billion a year in tax revenue. 'The biggest issue from a revenue standpoint is that opening up tax records for immigration enforcement is going to reduce tax compliance of immigrants, whether undocumented or not, and that will have a significant impact on tax revenue,' said Tom Bowman, a policy counsel with the Center for Democracy and Technology's security and surveillance project. The agreement between the IRS and ICE is a break with the longtime precedent of the federal government's telling people that tax information would not be used against undocumented people to seek their deportation. Lawyers, advocates and other immigrants have also spread the same message — only to have that sense of safety come crashing down for undocumented immigrants like Ivan under the new Trump administration policy. 'It's like a broken promise. It's like a betrayal,' Ivan said in Spanish. He asked that his full name not be used out of fear of deportation. Assistant DHS Secretary Tricia McLaughlin said in a statement that President Donald Trump is doing what should have been done all along, sharing information across the government 'to solve problems.' McLaughlin has previously said, 'Information sharing across agencies is essential to identify who is in our country, including violent criminals, determine what public safety and terror threats may exist so we can neutralize them, scrub these individuals from voter rolls, as well as identify what public benefits these aliens are using at the American taxpayer expense.' Undocumented immigrants and people without Social Security numbers can pay their taxes with the Individual Taxpayer Identification Number, which the IRS created in 1996. To seek a person's tax information, ICE needs to include certain data in its request to the IRS, including the person's name and address, the alleged offense the person is being investigated for and the reasons disclosing the tax information is relevant to the criminal proceeding or investigation, according to a court filing. Tax and immigration experts said the change could both erode the public's trust of the government and lead to a decrease in tax compliance. 'This is not just an attack on undocumented immigrants. It's an attack on all people who call this country home,' said Murad Awawdeh, the president and CEO of the New York Immigration Coalition. ICE did not immediately respond to request for comment about the policy. Neither did the Treasury Department, which the IRS is part of. The Institute on Taxation and Economic Policy estimated what would happen if more undocumented immigrants did not pay their taxes. It found that for every 10-percentage-point drop, tax revenues would decrease by $9.5 billion annually, with $8.6 billion of that coming from federal funds and an additional $900 million from state and local tax revenue. 'That's going to have trickle-down effects that are going to place increased financial burdens on citizens across the country,' Bowman said, adding that it would decrease the revenue available to go to major federal programs such as Social Security and Medicare, which undocumented immigrants are not even eligible for. 'The implications are just massive,' he said. On an individual level, 'it feels like being stabbed in the back,' said a 30-year-old Brazilian asylum-seeker who asked that his name not be used for fear of being deported. He added that he has filed taxes for years. 'Most of us want to file taxes and comply with the law. Now we're at risk with our lives on the line.' He said he did not know whether he would pay taxes this year. Ivan also said he is undecided because he fears being deported. 'It's a constant terror for immigrants,' he said. 'They're not only taking criminals. They want to take everyone, people who are working and contributing to this country.' There have been stringent taxpayer privacy laws after former President Richard Nixon sought to use IRS information to go after his political opponents. 'Its origin was to prevent the weaponized use of tax data against political opponents and perceived enemies,' Bowman said. Angela Divaris, an attorney with Greater Boston Legal Services, which provides free legal services, said people who prepare taxes for large immigrant communities nationwide reported both fewer first-time tax filers and returning filers so far this year. Divaris said attorneys have also been reaching out for guidance about how to educate immigrants about paying their taxes and explaining the new potential risks associated with doing so. Attorneys and advocates who have counseled undocumented immigrants are also feeling an 'enormous feeling of guilt and concern,' Bowman said. 'For decades, lawyers and civil society organizations have been telling undocumented immigrants to file your taxes to demonstrate financial responsibility for use in immigration proceedings and to assimilate into life in the United States,' he said. 'Now there's a question as to whether that's good advice.'
Yahoo
10-04-2025
- Business
- Yahoo
This sinister plan is Trump's admission that undocumented folks pay taxes
Undocumented immigrants paid more than $96.7 billion in federal, state and local taxes in 2022 alone. As they have for years, they paid taxes that year with no path to citizenship, no protection from deportation and no guarantees that their situations would change for the better. That deal was stacked against them, but they did it anyway, putting their trust in a country that claimed to offer promise and possibility, especially if you contribute and pay your fair share. That trust was shattered Monday when the Trump administration told a court that the IRS had struck a deal with Immigration and Customs Enforcement to 'use its protected tax records to help homeland security officials deport immigrants,' according to The New York Times. After the news broke, several top IRS officials, including the acting commissioner, resigned. For years, Republican extremists, including President Donald Trump and his allies, have spread the lie that undocumented immigrants don't contribute to this country's economy. According to them, such migrants drain resources, cheat the system and live off the government. It's a lie designed to justify cruelty, and Monday's turn of events further exposes the outrageousness of that falsehood. At the very least, based on the Trump administration's plan to use IRS records to aid in deportations, we should all agree that undocumented immigrants are paying taxes. They've been doing so for decades. The IRS created the Individual Taxpayer Identification Number (ITIN) to allow people without Social Security numbers to pay taxes in 1996. Millions of undocumented immigrants have used ITINs to report income and stay compliant with tax laws, even though they remain excluded from most public benefits. The government insists this data-sharing deal will apply only to migrants with judicial orders of removal. However, the agreement relies on a carve-out that allows tax information to be used in criminal investigations, specifically targeting migrants who haven't left the U.S. after being ordered to do so. Nina Olson, executive director of the Center for Taxpayer Rights and the former national taxpayer advocate for the IRS, called the plan 'unprecedented.' A Treasury Department spokesperson defended the deal and said it's 'founded in longstanding authorities granted by Congress, which serve to protect the privacy of law-abiding Americans while streamlining the ability to pursue criminals.' I agree with critics who oppose the deal that this exception goes too far and undermines taxpayer privacy. A group from the NYU Tax Law Center stated that the deal 'threatens to violate the rights that many more Americans have under longstanding laws that protect their tax information from wrongful disclosure or dissemination.' 'In fact, it is difficult to see how the IRS could release information to DHS while complying with taxpayer privacy statutes,' they added. 'IRS officials who sign off on data sharing under these circumstances risk breaking the law, which could result in criminal and civil sanctions.' For years, immigrants who paid their taxes through ITINs trusted that their records would remain confidential, separate from immigration enforcement. But with this new deal, the wall between tax compliance and immigration enforcement has been shattered. This breach is not only a policy failure but also a direct assault on the core American value of privacy. That trust is now broken, and for what? To expedite an immigration enforcement agenda that already operates with little regard for due process. IRS officials resigned because they knew the damage this would cause, not just to immigrant communities, but to the integrity of the entire tax system. Tom Bowman of the Center for Democracy & Technology said in a post about the deal: 'Undocumented immigrants may stop filing their taxes altogether in order to protect themselves and their family members from efforts to deport them based on information they provide to the IRS. Additionally, U.S. citizens and legal residents in mixed-status households may avoid claiming undocumented dependents, avoid claiming certain tax credits, or stop filing taxes altogether to protect their loved ones who are undocumented.' All this will likely lead to more misinformation, misidentifications and expanded surveillance. Immigrants already know what happens when they are swept up in an enforcement dragnet. The government is casting a wide net, all in the name of 'criminal investigation,' but we've seen the pattern. The lines are blurry, and the consequences are severe. The idea that this data will be used only on 'criminals' is hard to take seriously when the administration's record shows a willingness to disregard basic due process. The government's use of tax records for immigration enforcement undermines the very premise of our democracy. The ability to file taxes without fear of retaliation is a cornerstone of civic participation. Once that is eroded, no one's personal information is safe. If it can happen to immigrants, then it can happen to anyone. That's what's at stake here. Immigrants, no matter their status, contribute far more than conservatives and the people running Trump's administration like to admit, and their taxes bolster federal programs, including Social Security, even though, so long as they remain undocumented, they'll never benefit from them. We've built this country on the idea of shared responsibility, and these workers have been doing their part. But now, the very system they trusted is being weaponized against them. As Beatriz Lopez, co-executive director of the Immigration Hub, said in a scathing statement: 'We continue to slip into a new era of authoritarianism in America. The digital and physical dragnets that Trump is building mean millions of immigrants—many of whom have followed the law and paid their taxes for decades—are now vulnerable to indiscriminate brutality and quiet erasure with little opportunity for redress.' 'The administration is shattering what little trust remains between immigrant communities and the government and putting critical revenue streams at risk,' she added. When trust begins to unravel, the entire fabric of the nation follows. This isn't about just immigrants' rights. It's about all of our rights. If this breach goes unchecked, we all lose. The integrity of our system is on the line, and the damage will reverberate throughout every corner of society, no matter your immigration status. This article was originally published on
Yahoo
26-03-2025
- Business
- Yahoo
How potential IRS-ICE data sharing deal could impact the Bay Area
SAN JOSE, Calif. - Protesters gathered outside an IRS office in downtown San Jose on Tuesday to voice concerns about a Trump administration effort to turn over IRS tax data to immigration authorities. What they're saying Local leaders said if successful, the effort could reduce tax revenues, potentially hurting local services. San Jose has more than 50,000 small businesses, and local leaders estimate about half were started by immigrants. They said fear of potential immigration action tied to tax records is already having an impact. Whether documented or not, small business owners and individuals are required to pay taxes. Even without a Social Security number, the IRS will issue an Individual Taxpayer Identification Number, or ITIN, which allows people to pay taxes regardless of immigration status. Mimi Hernandez, executive director of Prosperity Labs in San Jose, an incubator that helps small businesses in the community, said, "What we stipulate in order for us to be able to help them, is that they have to meet their tax obligations. So these are people who are paying into the economy." Hernandez said having proper licenses and paying taxes is a key part of the process, but she has already had conversations with businesses that are afraid to file this year because of the possible link to immigration authorities. Why you should care "It is an economic disaster. I mean we are shooting ourselves, and our economy in the foot as it is recovering from COVID and inflation that is occurring right now. People are not going to feel comfortable filing their taxes," Hernandez said. According to the IRS, an ITIN is issued only for federal tax purposes. It does not qualify individuals for Social Security benefits, change immigration status, or authorize legal work in the U.S. But it does provide a way for anyone without a Social Security number to pay taxes. San Jose District 5 Councilmember Peter Ortiz said, "It has already had a chilling effect on the east side and really throughout our Latino communities in the city of San Jose. We have already seen members of our undocumented community scared to file their taxes." Ortiz said the money from both federal and state taxes flows directly to local cities, and the potential loss of that revenue could impact everyone, from the ability to provide police and fire services to road construction. "I condemn it because these are taxpaying residents of our country, and our city of San Jose relies on those tax dollars and we would be directly impacted if that continues," Ortiz said. At the moment, the exact framework of the potential deal between the IRS and ICE, or other immigration authorities, is not yet known. The Source Interviews with protesters, San Jose officials and community leaders
