Despite the fact that plans for additional stimulus funds to assist American households during the pandemic have failed in Congress, eight states are providing additional financial assistance to those in greatest need. This assistance takes many forms, ranging from gas cards to help with high fuel costs to tax credits, rebates, and cash payments.
Fatherly recently covered the various programs that states are putting in place to assist residents. Many of the programs have no income limits, so any resident of the state can benefit from the extra money.
Is your state on this list, and if so, when can you expect to receive stimulus funds?
California Governor Gavin Newsom proposed issuing debit cards pre-loaded with $400 to be used for gas in an effort to combat rising gas prices, which have risen 43.6 percent in the past year, according to the most recent Consumer Price Index report issued by the U.S. Bureau of Labor Statistics. According to Kelley Blue Book, households could receive one gas card per car, with a maximum of two cards per household. If the bill is passed, the cards will be distributed in July.
Because of the state’s tax surplus, Georgia residents may be eligible for a tax rebate for their 2020 and 2021 tax returns. Single filers and married couples filing separately will receive $250; heads of household will receive $375; and married couples filing jointly should receive $500 from the state (or added to their tax refund for the year).
Hawaii residents will also see money deposited into their accounts as part of a tax rebate program, according to Hawaii News Now. The state has a $2 billion budget surplus, which lawmakers are using to provide a $300 payment to Hawaii taxpayers earning less than $100,000 per year. Those who earn more than that amount will receive $100 per person.
According to the Idaho State Tax Commission, Idaho taxpayers will receive a rebate of $75 or 12% of their 2020 state tax, whichever is greater. To receive the rebate, residents must file their 2020 and 2021 tax returns by December 31, 2022.
Illinois has a number of programs in place to assist residents, including a $1.8 billion relief package that was recently signed into law. According to local news site WIFR, the plan for 2023 suspends the state’s grocery tax for a year and freezes the state gas tax for six months. Individual taxpayers earning less than $200,000 and married couples filing jointly earning less than $400,000 will receive a tax rebate of $50 per person and $100 per child for a total of three children.
The state of Indiana, which is also experiencing a budget surplus, is issuing an Automatic Taxpayer Refund of $125, according to the Indiana Department of Revenue. If you filed your Indiana tax return for 2020 before January 3, 2022, and your 2021 state tax return by April 18, 2022, and you have a bank account listed for your tax refund, you should look for a direct deposit. If residents did not meet the direct deposit requirements, a paper check will be mailed to them in late summer. There are no income restrictions for receiving the funds.
Maine residents with an adjusted gross income of less than $100,000 (single taxpayers or married filing separately), $150,000 (head of household), or $200,000 (married filing jointly) can expect to receive a $850 relief payment by check as early as June 1, 2022. According to Maine.gov, an estimated 858,000 Maine residents should expect to receive these “direct relief payments.”
State of New Mexico
This summer, New Mexico taxpayers can expect three separate payments. To begin, single filers and married couples filing separately will receive $500 refundable income tax rebates in both June and August 2022. Those filing jointly or as head of household will be eligible for a $1,000 tax credit. There are no income restrictions, and the funds will be deposited automatically or mailed to taxpayers who filed their 2021 Personal Income Tax return. Married couples filing jointly, heads of household, and surviving spouses earning less than $150,000 will be eligible for a $500 refundable income tax rebate in July. Individual filers and married couples filing separately with less than $75,000 in income will receive $250. Tax rebates that are refundable mean that taxpayers will receive the money even if the amount exceeds the amount of state taxes they paid in 2021.