Millions of Americans are about to receive tax rebates this year from a $2.9 billion pot but the amount varies on a person’s income.
Tax Rebate from $2.9 Billion Pot
Different states across the country have various schemes on how they implement tax rebates or tax returns. In the state of Massachusetts, the implementation of tax rebates is courtesy of an old law that was in place sometime to make sure that residents will get their excess tax.
Massachusett has set a cap of revenue at a certain amount and if it exceeds, the money should be sent back to the residents. According to a report published in The U.S. Sun, the state started sending out via direct deposit or mailed checks in November.
Moreover, most residents in Massachusetts received their rebates in Mid-December and payments are still going out even for those who filed their taxes late. On the other hand, you can still earn cash if you file by September 15, 2023 for your 2021 tax return.
How Much Will You Receive?
Under the law of Massachusetts, the amount of tax rebates that residents in the state will receive varies on how much was paid in state income tax. Generally, all residents will receive 13% of what they paid for in their state income tax and that is essentially 0.7% of their total taxable income.
This just simply means that the bigger you pay, the bigger the tax rebate that you will receive. For example, those who are earning $40,000 per year will receive $200 but those who are earning $1 million will receive more than $7,000 in tax rebates.