Middle-Class Stimulus Checks Up TO $1,050 Go Out Starting Oct. 7

stimulus check

Californians facing soaring prices from the record inflation are finally getting another round of help from the state government. Around 23 million taxpayers are set to receive gas rebate stimulus checks and many have already begun receiving them in their bank accounts.

This Stimulus Check comes even as gas prices in California, among the highest in the US, see another round of increase, mainly due to local issues. Prices closed at $6.38 a gallon this September.

The Stimulus Check rebate comes up to a minimum of $200 and a maximum of $1,050 for families and individuals in the state. The rate is tied to the 2020 income tax returns of individuals or families, their adjusted gross income, and the presence of any dependents. Around 90% of the residents of the state will qualify for these rebates and will be getting them in the coming 2 to 3 months, with most getting them by October.

What is significant is that while the national average for gas is $3.87 a gallon, in California it is $6.42, and it is closer to the $7.4 a gallon mark at present. Californians realize that the pain is not going to end with this round of payment as OPEC announced a further round of price rises on the international market.

California Middle Cash Back Start Arriving In Accounts

Residents of California started receiving the one-off gas rebate Stimulus Check beginning October 7. Eligible residents and families will receive up to $1,050 depending on several factors.

The Stimulus Checks have been divided into three layers with different income criteria for individuals and joint filers. For individual filers earning $75,000 or less, the cashback comes to $350 and an equivalent amount for any dependent. For joint filers, the individual amount is the same, and they too are eligible for an additional amount for one dependent. But the AGI for joint filers is below $150,000.

For individuals earning between $75,001 and $125,000, the rebate comes to $250 for the filer plus another $250 for any dependent. For joint filers, the total comes to $750 maximum, including $250 for any dependent with an earning range between $125,001 and $250,000.

The highest layer is for individuals earning between $125,001 and $250,000 for individuals and between $250,001 and $500,000 for joint filers. The amount comes to $200 per individual with a maximum of $600 for this layer.

The payments are part of a $12 billion relief package that is part of the annual budget outlay of $308 billion. The priority is to get dollars back into the pockets of Californians who have been among the worst affected in the US owing to the high price of gasoline. Gov. Gavin Newsom reached an agreement with lawmakers that helped him to increase the outlay from the initial decision to go for $400 gas cards for residents.

Most payments will be sent by January 15, 2023, as revealed by the Franchise Tax Board. Residents who have received money from any of the initial rounds of the Golden State stimulus in 2021 will be the first to receive direct bank deposits which will be between October 7 and October 28. The remainder of the direct account transfers will be made between October 28 and November 14.

For those who have not given details to help enable the authorities to send a direct deposit, the money will be mailed through the US Postal Service in a Money Network debit card which will start on October 25.

Californians Who Did Not File 2020 Returns Not Eligible For Stimulus Check

Most residents who failed to file their 2020 income tax returns by October 15, 2021, are not eligible for the Middle-Class Cash Back. The only exception is those who applied for an ITIN (Individual Taxpayer Identification Number) and did not receive it by October 15, 2021, the last date for filing the returns.

Other than the tax rebate, the state has increased funding for multiple social programs which include the State Supplementary Payments and the Supplemental Security Income. These schemes assist over a million disabled and senior people. SSP and SSI benefits will see a spike of around $39 a month for individuals and by $100 for couples.

There has also been an increase in CalWORKS grants (California Work Opportunity and Responsibility to Kids). It provides money and services to eligible parents.

The debit card mailed to eligible taxpayers will come in an envelope that prominently displays the following words, ‘not a bill or advertisement—important information about your Middle-Class Tax Refund. Detailed information about the cash-back stimulus check will be given on the website taxrefund.ca.gov or by calling 800-542-9332.

The debit cards will be mailed between October 25 and December 10 for residents who receive their GSS I and II, and the rest will be mailed by January 15 next year.

The Franchise Tax Board has partnered with Money Network Financial, a financial services firm, to facilitate the distribution of cash-back debit cards. You can get additional information on ways to activate the card, check the card balance, and view the images of the debit card and the MCTR envelope at www.mctrpayment.com.

Residents of Massachusetts and Illinois have a week to go to file and get Stimulus Checks that could go up to $1,300. The residents of Illinois have to be more attentive to submitting their income tax returns if they receive an extension on the rebate cash.

Residents of Illinois could get a rebate that could go up to $700, but they have to file the 2021 income tax returns by October 17 to get the direct payments. The state set aside millions of dollars for people who filed their returns for 2021. The rebate amount is linked to the adjusted gross income and the number of dependents.

Individual filers with a salary of $200,000 and no dependents will only receive $50 while joint filers with the same salary will receive double that. An extra $100 will be added for every dependent.

Residents of Massachusetts can look up to a state law that has enabled them to receive a total of $2.9 billion. For the fiscal year ending June 30, the state had a tax revenue of close to $42 B, but the cap for tax revenue is set at $38.87 B. the 1986 law stipulates that the excess will go back to the residents of the state.