Stimulus Update: Nearly a Dozen States Are Preparing to Send More Money to Residents
- Americans haven't received an economic impact payment for over a year, with the last check issued in March 2021.
- While lawmakers had the opportunity to extend the monthly Child Tax Credit payments for another year, they allowed the benefits to expire in late 2021.
- Luckily, nearly a dozen states are preparing to send out more stimulus money to their residents in 2022 -- and in some states, the payments could be worth up to $850.
Frustrated with inflation and high gas prices? If you live in one of these states, more stimulus money could be headed your way in 2022.
While millions of Americans may be hoping for another federal stimulus check to be issued in 2022, the chances of that happening appear to be slim -- at least right now. The last economic impact payment was issued back in March 2021, which means that it has been over a year since Americans received a financial boost from that type of stimulus check. And, while last year's monthly enhanced Child Tax Credit payments helped to add a few bucks to bank accounts across the nation, lawmakers allowed those extra benefits to end without an extension in 2021.
But while there may not be more federal stimulus money on the horizon, there could be some cash headed your way at the state level. As of mid-May, nearly a dozen different states were preparing to send more cash payments to their residents. And if you happen to live in one of these states, there could be more stimulus money headed your way in 2022. Here's what each state is offering -- or has proposed -- to help add some cash to their residents' pockets this year.
California has already issued two different state stimulus checks to residents who qualify, and now more financial help could be on the way. A recent proposal made by Governor Gavin Newsom would send prepaid debit cards worth $400 to the drivers in this state. The idea is to help offset the high cost that drivers are paying at the pump, as California residents in particular have been hit extremely hard by the rising gas prices.
With this plan, each California resident would receive a $400 gas card for each vehicle registered in their name, and the limit is two cards per person -- which amounts to a maximum of $800. And, unlike the other California stimulus payments that have been issued, this one would have no income limit. The payments from this program are slated to be issued as early as July.
Illinois residents may also get an additional stimulus payment this year. Democratic lawmakers in this state recently proposed payments worth $100 per adult and $50 per child in each household. These payments would be slated to arrive by September.
In addition to the one-time state stimulus payments, residents in Illinois could also get up to $300 more in tax credits to help reduce the amount they owe in property taxes. Grocery and gas taxes would also be temporarily suspended, and the tax on school supply purchases would also be on hold for a period of 10 days in August.
Residents of Idaho will also be getting an extra cash boost via a rebate check based on their 2020 taxes. This rebate will be in the amount of 12% or $75, whichever is greater -- and it will be issued via direct deposit or by paper check, depending on whether the person's banking information is on file.
Maine residents will soon be getting a state stimulus check to help with the rising costs of consumer goods due to inflation. These relief checks are worth a maximum of $850 and will be mailed to Maine residents who are eligible starting in June. To be eligible, you must be a full-time resident of Maine and must file your 2021 state tax return by Oct. 31 of this year.
5. New Mexico
New Mexico residents may also be eligible to receive up to $500 this year via a one-time tax rebate. The refundable income tax rebate is worth $500 for married couples filing joint returns, heads of household and surviving spouses with incomes between $75,000 and $150,000. Single filers and married individuals filing separately with incomes under $75,000 are eligible to receive a maximum of $250 for the tax rebate.
In addition to that one-time rebate, New Mexico residents may also be eligible for a state-based child tax credit of up to $175. These rebates will be issued automatically to residents who qualify, provided they have filed a 2021 tax return with the state.
Indiana residents will also be receiving another stimulus payment worth a maximum of $125 per single adult or $250 per married couple. Most Indiana residents are eligible to receive these payments, as it is being funded by a state budget surplus. The payments are slated to be issued starting this month and will continue through the fall. The money will arrive either via direct deposit or paper check, and it will be sent to residents who filed their 2020 state taxes prior to Jan. 3, 2021.
The state of Georgia will soon be issuing one-time tax refunds worth a maximum of $500 to residents who qualify. This money, which is being funded by a state budget surplus, is meant to help residents who are struggling due to inflation.
The refunds will be worth a maximum of $250 for single taxpayers or taxpayers who are married and file separately. Head of households are eligible to receive up to $275, and joint filers are eligible for a maximum of $500 via the tax refund. There is no income cap on these payments, and they will be automatically issued to taxpayers who file or have filed income tax returns for both 2020 and 2021.
8. New Jersey
New Jersey may soon be sending out $500 stimulus checks to tens of thousands of low-income taxpayers who file their taxes using a tax identification number rather than a Social Security number. The idea is to provide a financial boost to undocumented immigrants in the state, who were widely excluded from receiving other stimulus checks in recent years.
While nothing is set in stone yet, lawmakers in the state of Virginia are currently debating whether to issue another round of checks to all Virginia taxpayers. The proposed payments would be worth up to $300 for individuals or up to $600 for married couples and would be issued via a tax refund later this year.
10. New York
The state of New York is also issuing a percentage-based property tax relief credit to low- to middle-income residents who qualify. This credit will be worth an average of nearly $970 for New York residents who live outside of New York City and will provide relief to more than 2 million property-tax-paying households. And, homeowners who make less than $75,000 per year will receive an average of nearly $1,050 for this property tax relief program.
Earlier this year, the Hawaii governor proposed a $100 refund that would be issued to all state taxpayers and their dependents. This tax refund was ultimately signed into law, but not before lawmakers increased the maximum to $300 per person for Hawaii taxpayers who earn less than $100,000 per year. This money will be eligible to Hawaii residents who filed tax returns in the state for 2021.
States are still making decisions about how to best help their residents, so if your state isn't listed here now, keep your ear to the ground in the coming weeks and months as there's still a chance your state may step up to offer aid in a similar way.
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