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Rand Paul: ‘Refundable Tax Credits Are Just Welfare’

May 9, 2025
in News
Rand Paul: ‘Refundable Tax Credits Are Just Welfare’
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On Thursday on FBN’s “Mornings with Maria,” Sen. Rand Paul (R-KY) laid out ways illegal immigrants could exploit so-called refundable tax credits.

He called those refundable tax credits “welfare,” which could be given to illegal immigrants if they had a child born in the country.

“Refundable tax credits are just welfare,” Paul explained. “So, the Child Tax Credit and the Earned Income Tax Credit aren’t really earned. They’re just welfare payments. They don’t come out of your taxes. They come out of someone else’s taxes. It’s about $100 billion and it’s said to have about a 25% fraud rate. Actually, if your parents come in here illegally, they can still get the Child Tax Credit, because if you were born here and you’re now a citizen, and your parents who came into the country illegally, can file for a tax credit for you.”

He continued, “So, the whole thing needs to be reformed. We really shouldn’t have refundable tax credits. We should just call that welfare, and then we debate how much welfare we have, but we already have a ton of welfare. But, you have to cut spending. You have to look at entitlements. You also have to make the states pay their fair share. And the reason you do this is not to punish states, but because states are more fiscally responsible, because they don’t have a Federal Reserve. They have to borrow money or try to balance their budget. So, every state, even New York and California are more conservative than the federal government, because there are some limitations on their borrowing capacity.”

“So, we need to shift the cost,” Paul added. “It doesn’t mean we get rid of Medicaid, but every state should be paying at least half of the cost of Medicaid. Right now, the states are only paying 10 percent of many of the people on Medicaid.”

Follow Jeff Poor on X @jeff_poor

The post Rand Paul: ‘Refundable Tax Credits Are Just Welfare’ appeared first on Breitbart.

Tags: Fox Business NetworkMaria BartiromoRand Paul
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