Precise payments will vary based on one’s financial status, and residents must file their 2021 tax return to receive the money. The funding stems from the $2.94 billion the state raised in excess of the state cap on revenue the state amassed, according to the Massachusetts government.
Eligible taxpayers will receive a refund credit of 14.03%, though that figure could get pared down by unpaid tax debates or other extenuating circumstances. The 14.03% figure was finalized by the state’s Department of Revenue.
Qualifying taxpayers have until Sept. 15, 2023, to file their proper tax returns and will likely receive their refund within a month of filing, per the state government. Distribution of the relief came at the beginning of November and will continue through mid-December for applicants who have already filed.
Already, well over 1.3 million refunds totaling over $1.2 billion had been rolled out as of the second week of payments, CBS Boston reported. Payments will come via a check in the mail or direct deposit, depending upon one’s preferences. No additional action is required for those who have already filed their tax return.
This is the second time since 1986 that Massachusetts’s Chapter 62F cap on revenue was triggered, which sparked the refund. Massachusetts provides a tool on its website to estimate the amount of money qualifying taxpayers are estimated to receive.
Massachusetts had collected roughly $41,812,654,358 during the past fiscal year, almost $3 billion over the cap.