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Inflation relief is on its way for most California taxpayers

Posted at 6:29 PM, Sep 22, 2022
and last updated 2022-09-22 22:39:34-04

California residents may soon receive one-time payments of up to $1,050 aimed at providing some financial relief amid the high cost of gas and inflation.

The so-called Middle Class Tax Refund was expected to be distributed to California residents earlier this summer but after several months of waiting, taxpayers could see the money in just two weeks.

“I think like a lot of Californians we’ve all been feeling economic pressures, especially coming out of summer and everything like that," said San Luis Obispo resident Katherine Douglas.

Now, some relief is on its way.

“I think it’s something that is long overdue," said Shagun Srivastava, a San Francisco resident who was traveling through the Central Coast on Thursday.

To qualify, you must have filed your 2020 income taxes by October 15, 2021, lived in the state for six months or more in 2020, and could not be eligible to be claimed as a dependent in the 2020 tax year.

Payments range from $200 up to $1,050 depending on your income and tax filing status.

“You know an extra hundred bucks or whatever can help anyone out, so whatever is coming in the mail I think can be beneficial for everybody," Douglas said.

“For each tank of gas, I am literally paying double the amount I’ve been paying. It helps a good amount but I feel it’s still not enough," Srivastava said.

The distribution of payments is similar to tax refunds.

Those who filed electronically and received a tax refund through direct deposit will receive the rebate the same way. Everyone else will receive a debit card.

The earliest payments will begin on October 7 and continue to be distributed through January of next year.

The Franchise Tax Board has a “Middle Class Tax Refund Estimator” that can help California residents figure out how much money they may be eligible for on this website.