Under the umbrella of the initiative known as the Middle Class Tax Rebate (MCTR) program, an estimated 32 million Californians, including their dependents, have experienced a positive impact. The essence of this stimulus check program lies in its commitment to easing financial burdens by offering a singular payment. The beneficiaries of this initiative primarily consist of people from the middle-income bracket and those with lower earnings.
The majority of these payments were distributed towards the end of 2022 and continued into the early part of 2023. Nevertheless, it is important to note that certain Californians might still be waiting to receive their payments. Let’s learn more about the conditions to access this stimulus check and how you could access to cash it.
Eligibility and payment process for the MCTR Stimulus Check program
This delay may be attributed to ongoing disbursements by the state’s Tax Department to individuals who needed to correct certain information on their tax return or, in some instances, those who submitted their documents through traditional mail using paper forms. Furthermore, anyone who has been a resident of California for a minimum period of six months in 2020 and at the time the MCTR disbursement takes place, is also eligible.
The determination of eligibility hinges on specific prerequisites:
- Eligibility applies to those who have demonstrated due diligence in submitting their tax return ahead of the set deadline of October 15, 2021.
- It includes individuals who submitted an application for an Individual Taxpayer Identification Number (ITIN) but did not receive it prior to October 15, 2021. These taxpayers were required to submit their 2020 tax return no later than February 15, 2022.
- Eligibility extends to anyone whose Adjusted Gross Income falls within the pre-defined boundaries as stipulated by the Middle Class Tax Rebate Program.
- Those who were not accounted for as dependents in the 2020 fiscal year tax return are also considered eligible.
It should be noted that these payments are processed automatically. Thus, if the eligibility requirements are satisfied, recipients simply need to be patient while waiting for their payments. The monetary amounts can vary, with individuals receiving anything from $400 and those with dependents potentially receiving up to $1,050.
How does the Stimulus Checks are disbursed in California
A stimulus check in California, similar to other parts of the United States, refers to money sent out by the federal government or state government to taxpayers. These payments, officially known as Economic Impact Payments, were initiated in response to the economic hardships brought about by the COVID-19 pandemic.
The U.S. federal government provided three rounds of stimulus payments. The first round was authorized in March 2020 as part of the Coronavirus Aid, Relief, and Economic Security (CARES) Act, with adults receiving up to $1,200 and an additional $500 per child. The second round came in December 2020, as part of the COVID-related Tax Relief Act, with adults receiving up to $600 and an additional $600 per child. The third round was authorized in March 2021 by the American Rescue Plan Act, with adults receiving up to $1,400 and an additional $1,400 per child and adult dependents.
In addition to federal stimulus payments, the state of California initiated its own state-level stimulus program called the Golden State Stimulus. It aimed to support lower-income residents who might have been left out of federal stimulus payments or who were particularly hard hit by the pandemic’s economic impact. Under this program, eligible Californians received a one-time payment of $600 or $1,200, with an additional $500 for families with children.
Montana is also sending Stimulus Checks: Here’s how to claim
Montana’s state Legislature took decisive action by directing a substantial sum of $899 million towards income and property tax rebates during its highly productive legislative session. While the income tax rebates have already been successfully distributed, there’s still an anticipation among homeowners as they eagerly await the payout of the designated $280 million.
The Montana Department of Revenue is all set to distribute 2021 individual income tax rebates to over 530,000 eligible Montana taxpayers. Commencing from July 3, 2023, the department aims to complete the rebate distribution process by August 31, benefiting numerous taxpayers. What makes this initiative even better is that taxpayers do not need to apply for the rebate, making it a hassle-free process. Rebates will be sent to qualifying taxpayers according to the information provided on the most recently filed Montana Form 2: either electronically via direct deposit, or by paper check to the address on the return.
To be eligible for a rebate, taxpayers must have paid income taxes. Specifically, those who qualify are individuals who filed both a 2021 resident tax return and a 2020 resident or part-year resident tax return by October 17, 2022. Additionally, eligible taxpayers cannot be claimed as dependents on someone else’s tax return.
The rebates will be equivalent to the amount of a taxpayer’s 2021 taxes, capped at $1,250 for single, married filing separately, and head of household filers, and $2,500 for married filing jointly filers. To determine the exact amount of their 2021 tax liability, taxpayers can refer to line 20 of their Montana tax return.