As the holiday season gets underway, some Americans will struggle more than ever financially due to high inflation.
Higher prices continue to stretch many families’ budgets, with a recent poll showing that a majority of Americans are concerned about how they will afford gifts this year.
While another federal stimulus check remains unlikely, some states are sending direct payments to help their residents cope with rising costs.
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California
California approved direct payments of up to $1,050 earlier this year to help residents deal with inflation.
The state’s Franchise Tax Board said more than $5 billion has already been distributed through the program, known as the Middle Class Tax Refund.
However, some recipients don’t see their payments until December or January. Direct deposits for those who received Golden State Stimulus payments last year have already been deposited into bank accounts, the agency said.
But Californians who have changed their bank information since filing their 2020 tax returns will receive a debit card that will be mailed between December 17 and January 14. debit cards will be shipped on January 14.
Colorado
State lawmakers passed a law earlier this year to send direct payments to Colorado in the form of a tax refund.
Under the Colorado Cash Back program, individual petitioners receive a check for $750, while joint petitioners receive $1,500.
Most residents have already received the payments, but those who applied for a deferment and filed their tax returns before the October 17 deadline can expect to receive payment on January 31, 2023.
Idaho
In September, Idaho Governor Brad Little signed into law a $500 million tax credit.
Full-time Idaho residents who file taxes in 2020 and 2021 will receive 10 percent of the tax amount on their 2020 income or $300, whichever is greater. Joint applicants receive a minimum of $600.
The Idaho Tax Commission said it began processing the rebates in September and will continue to process them through 2022 and early 2023. About 75,000 payments will be made each week, according to the commission.
New Jersey
One-time payments of at least $500 went out this month to eligible New Jersey residents.
The payments will be sent to residents who were not eligible for federal stimulus payments and filed 2021 income tax returns using an individual taxpayer identification number.
The program gives $500 to each ITIN holder on the tax return, meaning a married couple who file jointly and claim two dependents will receive $2,000 if all four have ITINs.
The New Jersey Division of Taxation said it began sending payments this month and residents should contact the agency if they haven’t received it by Dec. 15.
Pennsylvania
The state has made one-time payments to eligible, elderly Pennsylvania residents who are approved for a property tax credit or rent paid in 2021.
The maximum standard discount is $650, but those who qualify for additional discounts can go up to $975.
The income limit is $35,000 a year for homeowners and $15,000 a year for renters, not including half of Social Security income. The deadline for applications is December 31.
Meanwhile, Pennsylvania Governor Tom Wolf has called on state lawmakers to pass legislation that would send $2,000 checks directly to eligible Pennsylvanians.
south carolina
South Carolina lawmakers approved a $1 billion tax cut in June. The South Carolina Department of Revenue said it began issuing the rebates, which are capped at $800, earlier this month.
Payments are currently being sent for those who filed their 2021 income tax returns before the October deadline. However, those who file their returns between October 17 of this year and February 15, 2023 will receive their payments in March 2023.
Virginia
The Virginia General Assembly passed a bill earlier this year authorizing a one-time tax credit.
Individual applicants receive a discount of up to $250, while joint applicants can receive up to $500.
Those who filed their 2021 tax returns before September 5 have already received their discount. According to the Virginia Department of Taxation, rebates are granted to those who file after that date, in the order in which taxpayers filed their returns.
To receive the discount, eligible taxpayers must file their tax returns by November 1, 2022.
