Even as the relentless increase in price continues to assail Americans, another state is in its stimulus checks.
Over 23 million residents are on track to get their state stimulus checks which can go up to $1,050. This is California’s third round of state stimulus checks with the Golden State stimulus checks I and II going out in 2021.
Other states too are in line to start sending out stimulus checks to their residents in November. After the pandemic relief measures were discontinued in 2021 with the result of the part payment of the Expanded Child Stimulus Check, people have been assailed by the unrelenting rise in prices that have covered the entire spectrum of essential goods from groceries to gasoline.
It is a first in 40 years as inflation inched past the 8% mark by the first quarter of 2022 and continued to gain, halting at 9.1% in June 2022. It has eased down a bit but remains well above the national average of below 3%. It has consistently stayed above the 8% mark that has seen prices close to doubling for most products including gasoline.
Gov. Newsom said that the government realizes that Californians are facing maximum trouble due to gas prices that have almost doubled from pre-pandemic levels. Gas prices in the Golden State stay the highest in the country for several reasons, which include high prices of non-pollution fuel and the use of extra processed oil to prevent pollution.
All these steps have placed, or are in the process of placing, millions of dollars through direct bank transfers, prepaid debit cards, paper stimulus checks, sales tax holidays for certain essentials, and tax rebates. These multiple measures have helped ease the immediate payment caused by the price of a range of essential products that include food and gas.
California remains one of the most affected of the states with gasoline prices remaining close to double the national price average and even creeping past the $8 a gallon mark at various stages. It stayed above $7 a gallon in October while ending September close to $9.5 a gallon.
The first of the payments for the California Middle-Class Tax Rebate began going out on October 7. The majority of the stimulus checks reached beneficiaries by the first week as an overwhelming number of residents received their stimulus checks through direct transfers.
The initial direct stimulus checks payment transfers went to individuals and households who received either of the Golden State Stimulus checks I or II. These residents had their online details with the Franchise Tax Board of California and consequently received the payments earlier. The next round of payments went to people who had filed their income tax returns for 2020 or 2021 online.
Eligibility For The California Stimulus Check
The California tax board (FTB) revealed that state residents are in line to receive the one-off tax refund if they filed their income tax returns for 2020 before October 15 last year. additionally, they should have stayed in California for a minimum of 6 months in 2020 and should also be a state resident on the date the payment is made.
Potential beneficiaries should qualify for the AGI limit set for either of the three categories stipulated by the state government. There is a different payout for each category and the lowest AGI will get to take the highest stimulus check if they file jointly and have included a dependent in their 2020 income tax returns.
Claimants must also not be claimed by other filers in 2020. As mentioned, the Middle-Class Tax Refund has three tiers and the payments have also been divided along those lines.
Individual tax filers who have filed their 2020 within the stipulated date and have an AGI of $75,000 or less and joint filers with an AGI for 2020 that is double that are eligible individuals for a $350 stimulus check. either of the filers will also get an equal additional amount of $350 if they included any dependent in their 2020 income tax returns.
Joint filers in this category stand to receive the highest possible amount under the Middle-Class Tax rebate with the amount racing $1,050, with $350 for each filer plus another $350 for a dependent.
The second category is for individual filers with an AGI for 2020 of between $75,000 and $125,000 and doubles that for joint income tax filers for taxes filed for 2020 in 2021 before October 2021.
They will individuals receive a stimulus check of $250 plus the same amount for any dependent included in the file for 2020. The maximum amount possible under this category comes to $750.
The highest category under which payments are being sent under the Middle-Class Tax Rebate covers filers with an individual AGI between $125,001 and $250,000, and a joint AGI of between $250,001 and $500,000.
Filers in this category stand to gain a stimulus check of $200 each and a similar amount for including a dependent.
Individuals with a 2020 AGI above $250,000 and joint filers with a 2020 AGI above $500,000 are not eligible for any stimulus check under the Middle-Class Tax Rebate.
A Stimulus Check For Illinois Residents
Illinois has put forward a stimulus package for residents that will give out around $1.83 billion that includes 2 rebate components, income, and property tax, plus a temporary relief from sales tax for several items that should reach residents by November.
Individual income tax filers with an AGI for 2021 within $200,000 are in line for a rebate of $50 on their returns while joint filers with a joint AGI of below $400,000 will get double that amount. Filers will also get $100 for each dependent up to a maximum of three dependents. So a family comprising 5 members can get a stimulus check of $500.
The Family Relief Plan announced by Gov. J. B. Pritzker also gives out many tax holidays and rebates, including a sales tax holiday by the state for one year. Further, a permanent expansion of the Earned Income Credit is also in line, and it has been boosted from 18% to 20% of the federal credit.
