WASHINGTON — A new analysis estimates that unauthorized immigrants pay Michigan $126 million in state, local taxes. The study also estimates that Michigan would gain $35 million in increased revenue should undocumented immigrants in the U.S. be allowed to work legally. The analysis, from the Institute on Taxation and Economic Policy, assumes a newly-legalized immigrant population of 150,000 in Michigan fully participating in tax systems. Michigan, and other states with an income tax, would see the most significant revenue change since it is in the income tax where compliance will increase under reform; unauthorized immigrants currently pay approximately the same level of sales and property taxes as other U.S. residents in the same income brackets.
Author
Related Reading
June 25, 2026
State Rundown 6/25: Trending This Summer? New Revenue!
June 11, 2026
State Rundown 6/11: Taxing the Rich Heats Up
Mentioned Locations
Michigan, Washington
