The increased Child Tax Credit was permitted to expire at the end of 2021, leaving millions of low- and moderate-income families without the extra cash they had grown accustomed to.
Earlier this year, there was still hope that politicians would reach an agreement on more stimulus money for Americans. However, the proposed stimulus legislation that has been submitted to Congress so far this year has lacked the required bipartisan backing to advance.
This means that millions of cash-strapped Americans are scrambling to discover new methods to supplement their income. Even though the job market has been especially beneficial for job seekers in recent months, many people are still battling to recover from the pandemic’s consequences.
If you’re one of them, there’s a chance you’ll get a financial boost soon. More stimulus money is currently being offered to citizens in a few states, and if you live in one of them, you may soon receive another direct payment. Six states are providing additional stimulus funds to their populations.
Residents in these states are being offered stimulus money. Are you eligible?
California, Delaware, Maine, Indiana, Illinois, and Colorado are already distributing stimulus money to people; however, not all residents will be eligible for this additional cash payout.
If you’re not sure if your state is on the list or if you’ll be eligible, here’s what each one is offering, when payments are due, and who is eligible to get these extra financial rewards.
1. Colorado, for starters
This summer, millions of Colorado residents will be eligible for tax refunds worth $400 for single taxpayers and $800 for joint filers.
This program’s purpose is to bring some inflation relief to Coloradans, and it might be a significant benefit to those who are struggling due to record-high prices.
This tax rebate will be available to around 3.1 million Colorado residents. To be eligible, you must be a full-time Colorado resident with a residence in the state. You must also spend at least half of the year in Colorado.
Your 2021 tax return will establish your eligibility, which must be filed by May 31 to qualify. In August or September, you should receive your money in the mail.
2. The state of California
California passed two stimulus packages last year, the Golden State Stimulus I (GSS 1) and Golden State Stimulus II (GSS II), both of which featured new stimulus payments for state citizens who met the criteria.
The goal of these stimulus programmes is to assist low- and middle-income Californians who are suffering as a result of the pandemic.
California individuals who qualify for benefits under the GSS 1 stimulus programme will get up to $600 in individual payments or $1,200 in joint payments.
GSS II payouts are worth up to $1,100 to residents who qualify. However, some people may see their second stimulus payments reduced.
To be eligible, you must be a California resident with an annual income of less than $75,000. The tax return from the previous year will assess eligibility, and payments will be made automatically. In June, another set of payments will be made.
Residents who qualify will also receive a tax rebate from the state of Delaware. The purpose of this one-time direct payment is to assist households in covering the growing expenses of groceries, gas, and other necessities, which have risen dramatically in recent months as a result of inflation.
Residents of Delaware who qualify will earn up to $600, with individual filers receiving $300 and joint filers receiving $600.
Delaware residents who submitted tax returns in 2020, as well as residents who did not earn enough to file taxes for that year, are eligible for this one-time payment.
Residents who filed tax returns in 2020 will be the first in line to get their $300 stimulus payments since eligibility will be established by tax return information.
Starting this month, checks will be issued to Delaware residents whose tax information is on file, with two more rounds of payments to follow.
Residents of Indiana will also be eligible for additional stimulus funds through a tax rebate. Residents whose bank information is on file with the state may get their payouts as early as this month for a maximum of $125 per individual filer or $250 per joint filer.
Indiana’s tax rebate will not be capped at a set income level, unlike some of the other state stimulus programmes. The one-time payout will be available to everyone who paid taxes in Indiana before January 3 of this year.
The state of Indiana will determine eligibility and distribute direct deposit payments based on information from your 2021 tax return. If the state does not have your bank account information on file, you will receive a paper check. Checks will be mailed out later this year.
Residents in Illinois will be receiving tax rebate checks later this year. These payments could amount to $400. The Illinois stimulus money, like the California stimulus money, is subject to specific income requirements. Individual filers in Illinois must earn $200,000 and joint filers must earn $400,000 to qualify.
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In addition, the city of Chicago is providing prepaid gas and transportation cards to eligible households. The purpose is to assist the city’s most vulnerable inhabitants with rising gas and transportation costs. The city will provide up to 50,000 $150 prepaid gas cards and 100,000 $50 prepaid transportation cards.
Maine’s governor signed a stimulus bill into law in late April, providing residents with one-time stimulus payments of $850. The state’s budget surplus is used to support these payments.
You must be a full-time resident of Maine and have an annual income of less than $100,000 for single taxpayers and $200,000 for joint filers to qualify. The programme offers up to $1,700 in tax relief to joint taxpayers.
Payments will begin in June when eligibility is confirmed based on the information in your 2021 tax return. You have until Oct. 31 to file your tax return for 2021 if you have not already done so.
What will the federal stimulus payments look like in 2022?
While no federal stimulus funds are on the horizon, Democratic senators have introduced the Gas Rebate Act of 2022, which would provide more federal benefits to Americans.
If passed into law, the proposal would reward eligible taxpayers across the country with $100 monthly energy rebate payments and an additional $100 per dependent. However, because the act is still in its early phases, it is unclear whether anything will come of it.