(MENAFN- ValueWalk)
TBIT / Pixabay
Idaho residents could soon get the tax rebate that the state legislature promised earlier this month. The state tax commission is expected to start processing the Idaho tax rebates from the special session later this month.
Who Will Get The Idaho Tax Rebates?
Earlier this month, the state legislature approved a bill during a one-day Special Session to direct $500 million to income tax refunds. Gov. Brad Little called the Special Session to address inflation.
Get The Full Henry Singleton Series in PDF
Get the entire 4-part series on Henry Singleton in PDF. Save it to your desktop, read it on your tablet, or email to your colleagues
Q2 2022 hedge fund letters, conferences and more
Some Of Warren Buffett's Most Successful Trades Involved No Risk
Value investing can be incredibly difficult because of how the market and investors work. Just because I think a company is undervalued based on my analysis of the business and its fundamentals, it doesn't necessarily mean the rest of the market will feel the same. That means there's no guarantee the stock will trade up Read More
Under the bill, full-time Idaho residents who filed their tax returns in 2020 and 2021 will get a rebate of up to $300 for single or head of household filers or $600 for joint filers.
Eligible service members using Form 40 or Form 43 when filing their tax return will get either the $300 or $600 or 10% of the tax amount reported on those two forms, whichever is greater.
The amounts are based on what taxpayers reported on their 2020 Idaho tax returns. Even those who haven't filed their 2020 and 2021 tax returns yet can get the Idaho tax rebate if they file both returns by Dec. 31.
Moreover, full-time residents who didn't pay income taxes but filed tax returns for the last two years could also be eligible for the tax rebate. It is estimated that the commission will send about 75,000 payments weekly, and the rebate will mostly benefit moderate- and low-income families.
The tax rebate will be sent first to taxpayers who are eligible for direct deposit or have provided their bank account details on their 2021 tax returns. All other eligible taxpayers will receive physical checks delivered to the most recent address the state tax commission has on file for them.
“We start processing payments for the 2022 Special Session rebate in late September, issuing them to eligible taxpayers in the order of the date we received the 2021 tax returns,” the state's tax commission says.
Other Benefits For Taxpayers
This Idaho tax rebate that resulted from the 2022 Special Session is just one way residents are receiving money from the state. In February, Gov. Little signed another bill that provided another tax rebate to full-year Idaho residents.
Under that other rebate, eligible taxpayers received $75 for themselves and each dependent. Eligible service members received either the $75 per person or 12% of the tax they reported on Form 40 or Form 43, whichever was greater. Idaho has already sent out most of the money from this previously announced rebate.
In addition to those two tax rebates , state lawmakers also approved a 5.8% flat tax for individuals and corporations. Currently, the corporate tax rate is 6%, and the same rate is applicable to the state's highest income bracket.
The legislature also set aside $410 million for public schools and workforce development programs. Of the $410 million, $330 million is proposed for K-12, and the remaining $80 million for in-demand occupations.
Those in favor of the bill believe that it would help lift the state in spending per pupil. Idaho business leaders have often complained about the state's deteriorating education system and how it is making it hard to attract new companies and retain existing ones.
“I am proud of my legislative partners for confronting the substantial impacts of inflation head-on by putting our record budget surplus back in the pockets of Idahoans while responsibly funding education at historic levels to ensure we are meeting our constitutional and moral obligation to Idaho students and families, both in the short term and the long term,” Gov. Little said previously in a statement.
The state tax commission will soon launch a 'My Rebate' tool to help users track the status of their latest Idaho tax rebates.
MENAFN23092022005205011743ID1104915624
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.