The passing of the Inflation Reduction Act of 2022 has been billed as a historic agreement that will fight inflation and lead to reduced costs for Americans. But the President was referring to the long term even as families continue to struggle to cope with the present. For them the struggle is immediate, and the state stimulus check seems the only solace at present from the record inflation the nation is facing.
President Joe Biden stressed that this bill will reduce inflationary pressures on the economy by forcing the largest corporation in America, those that are a nation unto themselves, to pay their fair share to the federal government. The bill promises to cut the cost of living and lead to reduced inflation and strengthen the economy enough to prevent a further spike in inflation in the future.
Climate leaders like saying that it is a long overdue and necessary stem and will help the American economy while taking decisive action on the climate crisis. the two most important takeaways from the bill are that Fortune 500 corporations, 55 of whom got away last year by paying zero taxes, will have to pay a minimum of 15% tax of their income.
Secondly, the package is expected to reduce the federal deficit by $300 billion. That should go a long way in easing pressure on the record inflation. But for immediate relief the act provides little solace and states continue to send out stimulus checks to give residents relief from the high inflation that has led to negative earnings for many low and medium-income residents in 2022, way lower than their real earnings before the pandemic struck.
For most Americans, the greatest fight is to bring down the cost of things that are vital for a working or middle-class family.
State Stimulus Check Poised To Go Out In September
The recent hike in inflation has somewhat tapered following a hike in the interest rate by the Federal Reserve. But the cost of living in America is way higher than at the beginning of the year. the state stimulus checks thus have assumed significance for their ability to provide relief from inflation even as the center expresses its inability to sanction further stimulus payments.
Among the 20 odd states, Alaska has one of the most generous packages for its residents. Governor Mike Dunleavy signed a stimulus package for Alaskans way back in June. According to the state administration’s press release, residents received two diverse inflation relief payments.
The two payments will go out in one single transaction or stimulus check. the Alaskan Permanent Fund grants $2,550 for all the oil wealth dividends of Alaska. The data provided by the administration reveals that the Permanent Fund payout of 2022 will be the highest dividend payout since 1982.
Alaskans will also receive an energy relief stimulus check worth $650. The energy relief payment has been stipulated as a one-off stimulus check to ease the costs of inflation that are plaguing Alaskans.
The Permanent Fund Stimulus Check Given By The Alaskan Administration
The Dept. of Revenue of Alaska granted $1,114 for the Permanent Fund Dividend in 2021. But high inflation and record oil sales have ensured that residents of the state will receive additional money in their 2022 relief stimulus checks.
But when the stimulus checks were announced by Gov. Dunleavy, he failed to mention any conceived strategy to redistribute the stimulus checks. Records reveal that residents usually receive their Permanent Fund dividend at the end of October. But there is no fixed date for the division.
Before the proposal was signed by Gov. Dunleavy, there were previous plans that had not received any approval and had earmarked larger relief for Alaskans. The failed plan contained a payout of $5,500. But the $3.5B proposal did not receive the approval of the state lawmakers. The second plan though was for $2,600 which was through a direct stimulus check.
Alaskan residents for an entire calendar year preceding the application date for the dividend are eligible for the Permanent Fund dividend. They must also reveal their intention to indefinitely remain a resident of Alaska during the time of the application of the dividend.
Hawaii too was one of the earliest among states to declare a stimulus check for its residents. The one-time payment will be $300 and comes under the state plan to offer cost-of-living relief to residents.
Gov. David Ige said that the administration was glad that they had been able to support taxpayers at a time they were under pressure due to the high inflation. He said that he was certain that the stimulus check would put funds directly into the hands of residents and would go a long way to provide them relief.
Eligible taxpayers earning below $100,000 will the $300 stimulus check and others will receive a $100 payment. The same amount will also go to dependents of tax filers.
Residents who file their state tax returns by December 31 this year will be considered for the rebate. People who receive their tax refund for 2021 by bank transfer will get their payments in the same route while others will receive it through paper stimulus checks.
The Colorado stimulus check, officially the Cash Back Bill was signed in the last week of May and will give full-time residents of the states $750 if they file as individuals and double that for married couples who file jointly. Residents should be above 18 years and should have filed their returns by the end of June. Residents will receive their stimulus check by September, as revealed by the website of the Dept. of Revenue. Those applying for an extension of deadlines for filing returns till October 2022 will receive their stimulus check later by January next year.
Residents of Illinois have begun to receive the $21.83 billion family relief plan announced by the state in early July. The state also went for a suspension of the 1% state sales tax on groceries till June 30 next year and a reduction by 5% in sales tax to 1.25% as part of a back-to-school tax holiday between August 5 and August 14.
