Last year’s nationwide wave of stimulus payments may have ended, but that doesn’t mean such cash infusions still aren’t going out to taxpayers in certain parts of the US. In fact, middle-class tax refunds totaling some $9.5 billion are set to go out in one state starting tomorrow, on October 7 — and we’ve got all the details below.
Middle-class tax refund payments up to $1,050
What’s happening
? The state of California is set to begin distributing tax refunds of up to $1,050 to millions of residents, under the largest such program in the state’s history.
How much money is going out? The payments will range from $400 to $1,050 for couples who file joint tax returns (and from $200 to $700 for individuals, depending on their income and whether they can claim a dependent).
California Middle-Class Tax Refund will start hitting bank accounts this Friday, Oct. 7
Some will receive up to $1,050
— Duke Alexander Moore, CTC, EA (@dukelovestaxes) October 4, 2022
“Inflated costs for everyday necessities have forced many to cut corners or make impossible choices, and pain at the pump has been compounded by the return of the commute for many Californians,” said State Controller and Franchise Tax Board Chair Betty T. Yee in a news release about the middle-class tax refund payments.
“As the holidays approach, my team members are thrilled to be able to get these payments into the hands of those who have been struggling, so they can enjoy a measure of relief.”
When is this happening
? Approximately 8 million direct deposit payments will start landing in bank accounts on October 7, continuing through November 14. An estimated 10 million prepaid debit cards are also going out from October 25 through January 15. In all, some 18 million payments will be sent to as many as 23 million Californians.
The state says that you can check your eligibility by visiting taxrefund.ca.gov.
The payments are necessary because of soaring inflation, according to California Gov. Gavin Newsom. “We know it’s expensive right now, and California is putting money back into your pockets to help,” he said. “We’re sending out refunds worth over a thousand dollars to help families pay for everything from groceries to gas.”
Other important details to know
The individual payment amounts will be based on the adjusted gross income listed on the recipients’ 2020 California state income tax return, as well as the filing status listed on that return (and whether dependents can be claimed).
The Franchise Tax Board’s Middle-Class Tax Refund website at taxrefund.ca.gov has a complete breakdown of payment amounts and a tool to estimate individual payments.
