New York is sending out $475 million in tax relief

Starting this week, qualifying New York state residents will receive an extra tax credit check in the mail worth an average of $270.

Eligible recipients include residents who qualified for either the Empire State child credit or the Earned Income Credit, or both, in the 2021 tax year. Most of the one-time checks will be mailed by Oct. 31, the New York Department of Taxation and Finance announced Wednesday.

The one-time checks were approved in the 2022–23 state budget. An estimated 1.8 million people will receive approximately $475 million.

The amount that taxpayers receive will depend on the amount of their 2021 Empire State child credit and/or their New York State Earned Income Credit. Those who got the 2021 child credit will receive between 25% to 100% of that amount, depending on their income; those who received the 2021 Earned Income Credit will get 25% of the amount they already received. The average amount taxpayers will receive is $270.

“If you qualify for a payment for one or both credits, you don’t need to do anything,” the department said. “We will automatically calculate and send you one check that will include the total amount you’re entitled to.”

Speaking about the checks last month, New York Gov. Kathy Hochul said they would help low-income families with the current cost-of-living crisis.

“This program will put money back in the pockets of nearly 2 million New York families struggling to make ends meet in the face of the pandemic, inflation, and other rising costs,” Hochul said.

This is the second time in 2022 that some residents have gotten a special tax credit check in the mail in New York. Earlier this year, property owners received a tax rebate. Hochul also imposed a statewide gas and diesel tax holiday to help ease the sting of high gas prices in the state. 

Sign up for the Fortune Features email list so you don’t miss our biggest features, exclusive interviews, and investigations.

Read The Full Article Here