The federal government will soon require U.S. banks to consider the citizenship of customers, the latest move in the Trump administration’s efforts to impose financial restrictions and digitally track illegal immigrants in the United States.President Donald Trump signed an executive order this week that adds to the long list of actions the White House and federal agencies have taken in his second term to make immigration enforcement a whole-of-government effort, not just limited to the Department of Homeland Security.Trump’s latest action requires banks to report payroll tax evasion, suspected shell companies, and the unverified use of an Individual Taxpayer Identification Number. ITINs are nine-digit tax processing numbers that the IRS issues to foreigners to file taxes.
It also directed the Treasury Department and bank regulators to look for indicators that illegal immigrants are using bank accounts, loans, or credit cards with major financial institutions in the U.S. The plan will take effect in 90 days.
The White House touted the plan as a way to avoid putting the financial system at risk by extending credit or financial services to the “inadmissible and removable alien population.”
