As we draw closer to the October distribution dates, millions of Californians are excitedly anticipating their Middle-Class Tax Refund, sometimes known as inflation relief payments by legislators.
You might recall the Golden State Stimulus program of 2021, which provided checks to millions of lower- and middle-income Californians, as the previous instance of the state providing direct payments to citizens.
The inflation relief checks, however, which are anticipated to be sent shortly, differ significantly from the Golden State Stimulus checks in a number of important ways, and this time, a lot more individuals are eligible.
One significant shift involves Californians whose sole source of income is social security, disability, or other forms of public assistance. People whose only source of income was public assistance were not eligible for payments under the Golden State Stimulus since their tax returns revealed that they had no California Adjusted Gross Income ($0). (or CA AGI). For Californians to be eligible for the Golden State Stimulus, their income had to be between $1 and $75,000.
Now, to be eligible for the Middle-Class Tax Refund this year, a person must have reported $0 of AGI on their 2020 taxes. Depending on your income, filing status, and dependents, you may get benefits ranging from $200 to $1,050.
According to the Franchise Tax Bureau, a person who is solely reliant on social security or disability benefits and had a CA AGI of $0 in 2020 would now also get $350 if they do not declare any dependents and $700 if they do.
For a married couple filing jointly who are entirely reliant on social security or disability benefits, the amount is either $750 without any dependents or $1,050 with at least one.
The Franchise Tax Bureau reminds Californians that there are other conditions, such as residency restrictions and tax deadlines, that must be satisfied before receiving a payment.
The state projects that almost 23 million individuals will get payments overall. The state said payments will start to be made in October.