Families In Michigan To Get Tax Credit Of At Least $550

tax credit
Tax Credit

Over 770,000 households in Michigan are in line for a decent financial boost in the form of a tax credit. The Great Lakes state is set to start sending out tax credits in the first quarter of next year. Starting in February, the beneficiaries will start getting an average tax credit check of around $550. The credit is part of the billion-dollar tax cut that Governor Gretchen Whitmer passed this year.

Called the Working Families credit, the payments will start on a specific date as stipulated by the state authorities. From February 13 next year, the credit payments will be sent to those families who are eligible. The payments will be based on their income tax return for 2022.

Tax Credits See Four-Fold Increase

CBS Detroit revealed that the payments will be sent on that specified date as stipulated under the legislation. Tax credits have undergone an increase from six to thirty percent of the EITC. The earned credits begin with the current income tax return year.

The credit will also be given retroactively to last year, the Michigan Advance has reported. This, in a nutshell, means that eligible residents will receive both the additional credit payment against their income tax returns for 2022 and the full tax credit of 30% on their filing for 2023 when they finally file in the first quarter of 2024.

In a statement, Governor Whitmer said that the credits will be quintupled leading to the generous sum of $550 for 770,000 families well ahead of the scheduled date. She said that the sum would directly benefit 50% of the state’s children and also their parents. The extra money from the tax credit will help with groceries and rent. It will also be useful for buying school supplies. The combined average tax refunds come to $3,150 for the families.