The state of California is giving middle-class taxpayers a much-needed tax break starting on Friday. As part of a plan called the Middle-Class Tax Refund, millions of them will receive payments of up to $1,050 in relief. A record surplus of $97 billion was recorded in this state.
Households with annual incomes of less than $500,000 will receive a $600 rebate, while individuals with annual incomes of less than $250,000 will receive a $1,050 rebate. About 23 million people in California will receive one of the estimated 18 million payments that will be sent out between now and January 15. This was verified early Friday by the office of Governor Gavin Newsom.
This relief is available to taxpayers with a linked direct deposit from this Friday through next Tuesday, November 14. In addition, on October 25th, tens of millions of debit cards will become available. In 2022 alone, roughly two-thirds of U.S. states will implement this method of tax refund distribution.
Remarkable revenue growth and record state surpluses have fueled a trend toward tax reductions following the economic downturn caused by the Covid-19 pandemic. States, where most of the people vote Republican, has decided to lower taxes for good. Democrats in states are offering temporary tax breaks.
The first round of direct deposits for the State of California’s Middle-Class Tax Refund will roll out later this week.
What to expect and who qualifies for the payment:https://t.co/BB3kg3j3KR pic.twitter.com/xbryfaxQuM
— NBC 7 San Diego (@nbcsandiego) October 5, 2022
When It Comes To Tax Refunds, How Much Can Californians Expect To Get?
The amount of money that will be returned to California residents as part of the Middle-Class Tax Refund program will be calculated using state income tax returns from the year 2020. In addition, it takes into account each taxpayer’s filing status and the number of people living in their home. Visit taxrefund.ca.gov if you want to see if you qualify for a refund and for more details.
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