State Relief Payments: A Complete Guide for This Fall

Are you wondering if your state is sending out stimulus checks or tax rebates this fall? While the era of broad federal stimulus payments has ended, many states are still issuing their own financial relief to residents. We’ve created a comprehensive guide to help you see which states are sending payments and what you need to know.

States with Active Payment Programs This Fall

Several states have approved and are distributing special payments to eligible residents. These programs are designed to help with the rising cost of living, return surplus tax revenue, or provide targeted relief. Here is a detailed breakdown of states with active programs.

Alabama

Alabama is sending one-time tax rebates to residents who filed a state income tax return for the 2021 tax year. This initiative was made possible by a budget surplus.

Program Name: 2023 Tax Rebate
Payment Amount: The rebate is $150 for single individuals, heads of family, and married couples filing separately. The amount is $300 for married couples filing jointly.
Eligibility: To qualify, you must have filed a 2021 Alabama state income tax return on or before October 17, 2022. You cannot have been claimed as a dependent by another taxpayer during the 2021 tax year.
Timeline: The state began issuing these payments on November 30, 2023. Payments are sent via direct deposit or paper check, depending on how you received your 2021 tax refund.

Arizona

Arizona is providing a tax rebate specifically for families with dependents. The program aims to provide direct relief to households with children.

Program Name: Arizona Families Tax Rebate
Payment Amount: Eligible taxpayers will receive $250 for each dependent under the age of 17 and $100 for each dependent over 17. The maximum rebate is for three dependents.
Eligibility: To qualify, you must have been a resident of Arizona for the entire 2021 tax year, filed a 2021 state tax return, and claimed at least one dependent. There is a minimum tax liability requirement of at least $1.
Timeline: The Arizona Department of Revenue began issuing these payments in the fall of 2023.

Minnesota

Thanks to a large budget surplus, Minnesota is sending direct tax rebate payments to millions of its residents.

Program Name: 2021 One-Time Tax Rebate Payment
Payment Amount: The payments are $260 for eligible individuals, $520 for married couples filing a joint return, and an additional $260 for each dependent, up to a maximum of three dependents. This means a family could receive up to $1,300.
Eligibility: Eligibility is based on your 2021 Minnesota income tax return. Single filers with an adjusted gross income (AGI) of $75,000 or less qualify, while married couples filing jointly with an AGI of $150,000 or less are eligible.
Timeline: Payments began rolling out in late August and have continued through the fall. If you used direct deposit for your 2021 tax refund, you should receive the payment in your bank account. Otherwise, a paper check will be mailed.

Montana

Montana has two separate rebate programs that have been active this fall, one for income taxes and another for property taxes.

Program Name: Individual Income Tax Rebate and Property Tax Rebate
Payment Amount: The income tax rebate is the lesser of your 2021 tax liability or $1,250 for single filers and $2,500 for those married filing jointly. The property tax rebate provides up to $675 of relief on property taxes paid on a principal residence.
Eligibility: For the income tax rebate, you must have been a Montana resident for all of 2021 and filed a 2021 state tax return. For the property tax rebate, you must have owned and lived in your Montana home for at least seven months in 2022 and paid property taxes on it.
Timeline: The income tax rebates began issuing in July 2023 and continued through the fall. The property tax rebate application window was open until October 1, 2023, with payments processed after applications were reviewed.

Washington

Washington’s program is a credit aimed at lower-income individuals and families, with payments being distributed throughout the year, including the fall.

Program Name: Working Families Tax Credit
Payment Amount: The payment amount varies based on income and the number of qualifying children, with a maximum credit of $1,200.
Eligibility: Eligibility is modeled after the federal Earned Income Tax Credit (EITC). You must have lived in Washington for at least 183 days in 2022 and meet certain income requirements.
Timeline: Applications for the 2022 tax year were open for most of 2023. Payments are processed and sent after an application is approved, with many residents receiving them this fall.

What About Other States?

If you don’t see your state on the list, it likely means one of two things: your state did not approve a special rebate program, or its program has already concluded. For example, states like California, Colorado, and New Mexico sent out significant payments in late 2022 or earlier in 2023, and those distribution schedules are now largely complete.

It is always a good idea to check your state’s official department of revenue or taxation website for the most current information, as new programs can be announced or details can change.

Frequently Asked Questions

Are these federal stimulus checks? No. The payments listed here are funded and distributed entirely by individual state governments. They are not part of any federal stimulus program. The last round of federal Economic Impact Payments was issued in 2021.

Do I need to apply for these payments? For most of these state programs, the payments are automatic for eligible residents who have filed their taxes. If you meet the criteria based on your most recent tax return, the state will send the payment to you via direct deposit or paper check. The Washington Working Families Tax Credit is a notable exception that requires an application.

Is this money taxable? The taxability of these state payments can be complex. The IRS has issued guidance stating that in most cases, these types of general welfare and disaster relief payments are not subject to federal income tax. However, rules can vary, so it is best to consult your state’s revenue department website or a qualified tax professional for advice specific to your situation.