Middle Class Tax Refund Explained

For a middle class family, paying taxes with just a meager income has been a problem for the ages. Moreover, the Government has always been looking to help those families who find it hard to pay taxes and even those who are suffering from a financial crisis.

Even because of the Covid-19 pandemic, many families have been going through a financial crisis, and hence paying taxes seems to be a big problem for them.

Keeping all these points in mind, the California Government has now taken the initiative by introducing the Middle Class Tax Refund (MCTR) which is a perfect program for all families to get some financial aid from the Government regarding taxes. These programs will just make life easy for those families who are finding it hard to fulfill their other basic needs as a big amount of their income goes into filing taxes.

What Is The Middle Class Tax Refund (MCTR)?

The California Middle Class Tax Refund is a one-time benefit designed to provide relief to taxpayers who make less than a certain amount according to the Government. The refund will be applied to your state income tax or estimated tax payment.

The program has been introduced to make sure that families who are in desperate need of financial aid are not ignored and hence can be helped in better ways.

Furthermore, the California Government has always looked to help those families who are not able to manage their finances, and hence MCTR is another step to help them.

Apart from this, the dates of the program are also out and hence the families looking to get the tax refund will soon have the money with them which will help them to get all the basic things that they had to sacrifice because of paying the taxes to the Government.

Eligibility Criteria for Middle Class Tax Refund (MCTR)

The California Government has set up an eligibility criteria for citizens who are looking to reap the benefits of the Middle Class Tax Refund program. Moreover, the eligibility criteria is strictly followed by the Government and hence only those families will be rewarded who will fall under it.

• The first thing that a family needs to ensure is that they come under California adjusted gross income (CA AGI) limits which are set by the Government. These limits have to be strictly followed by the citizens.
• Another criteria that come under the program is that by the 15th October 2021, the family should have filed a proper 2020 tax return which will have all the necessary details of them.
• The family or the resident should not be claimed as the dependent in the year where the tax was filed.
• The applicant or the residents of the family should be a resident of California for a year or for six months in the tax filing year.

Every citizen who is looking to get some financial aid from the Middle Class Tax Refund has to follow the eligibility criteria strictly if a family or applicant isn’t eligible for the program, then no financial aid will be provided to them.

Relevant Dates For Middle Class Tax Refund (MCTR)

The most important thing in the Middle Class Tax Refund is that the applicant needs to make sure that they have received the Golden State Stimulus Payment. This is offered to those families who have qualified for the MCTR by providing 2020 tax returns and hence are looking to get full financial aid.

Apart from it, Golden State Simulus I and Golden State Simulus II are provided to families who have filed their taxes and are making less than $75,000 throughout the year.

The expected dates for the receiving of Golden State Simulus I and Golden State Simulus II are between 7th October 2022 to 25th October 2022. The families who have filed their tax returns in 2020 will be eligible for these payments.

Apart from the Golden State Stimulus payments, the applicants will receive the rest of the amount between 28th October 2022 to 14th November 2022.

The payment system is expected to be of direct deposits or through the debit cards that will be provided to the applicants who have filed their taxes in the year 2020. The debit cards for those applicants who are already done with the filing of taxes in 2020 will be available from 17th December 2022 to January 14th, 2023. Apart from it, the applicants will be only receiving the money through debit cards if

• They have already filed the tax papers in 2020 and are having a due balance in the same.
• They have already received a check for the tax refund and are already done with getting the Golden State Stimulus (GSS) payment which will be also done through check.
• They have already got the advance payment of the tax preparer fees which is a mode of a tax refund.

The Government of California always relies on direct payment modes and hence most of the applicants will be paid through the direct mode only. This will be done with only those who have e-filed the 2020 Tax returns and hence will be getting the desired process. Currently, the dates of both payment modes are out and the families will be receiving their payments on those dates only.

Conclusion

The Middle Class Tax Refund program is an initiative for those families who are finding it hard to give taxes to the Government because of their limited income. Moreover, the Government of California has always made sure that the families residing there don’t face such problems and thus these programs are always helpful to them which helps them get a certain amount of their taxes back with them.

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