California Governor Gavin Newsom has finally signed the latest round of stimulus check payments for residents to tide over rising prices. His $307.9 billion state budget signed this week includes the inflation relief stimulus check worth $17 billion. This relief will come in the form of a stimulus check that could be worth up to $1,050 for those filing income tax jointly.
The Middle-Class Tax Refund promises to be the biggest state stimulus check package and comes after the two rounds of the Golden State stimulus checks that followed the three rounds of federal stimulus checks.
California Stimulus Checks To Be Based On 3 Levels Of Income
The Middle-Class Tax Refund will cover a wide range of income and has been divided into three brackets. At the lowest level of earning, individual filers can get a $350 stimulus check plus another $350 for one dependent if filing individually. For joint filers, it comes to $350 each for the filers and another $350 for one dependent. The income slab has been fixed at $75,000 for individuals and $150,000 for joint filers.
The second bracket has been set at $125,000 for individual filers and $250,000 for married couples filing jointly. People in this bracket can earn up to $750 for joint filers, $500 plus another $250 for one dependent. For individuals under this bracket, it works out to #250 plus another $250 if they declare one dependent.
For the upper middle class earning between $125,000 and $250,000 per individual, the relief check works out to $200 for each filer plus another $200 for one dependent. It allows a maximum of $600 per individual.
The California tax board (FTB) will start sending out payments starting the last quarter of 2022. Taxpayers should have filed their 2020 income tax returns by 15 October 2021. Those who have applied for an Individual Taxpayer ID number by that day and also filed their 2020 returns before 15 February 2022 also qualify for the payment.