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California Middle Class Tax Refund | Eligibility, Payments, and Information



California Middle Class Tax Refund | Eligibility, Payments, and Information

California Middle Class Tax Refund | Eligibility, Payments, and Information. Since October, California has initiated the distribution of Middle Class Tax Refunds (MCTR) to assist eligible residents. This program aims to alleviate the financial impact of inflation on Californians. While most payments have already been disbursed, some are still under scrutiny and processing. To keep you informed, we provide details about eligibility, payment methods, and important information regarding the California Middle Class Tax Refund.

California Middle Class Tax Refund Overview

The Middle Class Tax Refund (MCTR) is a one-time payment designed to support the middle-class population in California. This initiative has benefited a substantial number of taxpayers and their dependents, with over 31 million Californians receiving these refunds.

Distribution and Delays

Payments began distribution as of January 13th, with over 16 million payments issued. However, it’s worth noting that some eligible recipients, totaling over a million, may still be awaiting their payments, which can be as much as $1,050. Delays may be attributed to address or banking information changes since the last tax filing.

Update Schedule

In response to a small volume increase, weekly data updates have ceased. The next update is scheduled for February 22, 2023, and will be available at

Eligibility Criteria

To qualify for the California Middle Class Tax Refund, you must meet the following criteria:

  1. Filed your 2020 tax return before October 15, 2021.
  2. Meet the California adjusted gross income (CA AGI) restrictions as outlined in the eligibility requirements.
  3. Were not claimed as a dependent for the tax year 2020.
  4. Resided in California for at least six months during the 2020 tax year.
  5. At the time the payment is made, you must be a resident of California.
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Payment Method

Californians eligible for the MCTR will receive their payments through one of two methods:

  • Direct deposit for those who e-filed their 2020 CA tax return and received their CA tax refund by direct deposit.
  • Debit card for other qualified taxpayers, including those who filed a paper tax return, had an unpaid balance, received the Golden State Stimulus (GSS) payment, or experienced changes in banking information.

Payment Amounts

The amount you receive under the California Middle Class Tax Refund depends on your adjusted gross income as reported on your 2020 California state tax return. Payments are divided into three tiers:

  1. Couples filing jointly and single taxpayers with an income less than $75,000 (or couples with an income less than $150,000) will receive $350, plus an additional $350 for dependents, potentially totaling up to $1,050.
  2. Couples with incomes between $150,000 and $250,000 (or singles with incomes between $75,000 and $125,000) will receive $250, with an extra $250 for dependents, potentially resulting in a $750 payment for families with children.
  3. Couples filing jointly and individuals filing separately with incomes between $125,000 and $250,000 will each receive $200, with a potential maximum payment of $600 for families with children.

To calculate your specific refund amount, you can use the calculator on the Franchise Tax Board website.

Tax Implications

The California Middle Class Tax Refund is not considered taxable income by the IRS. Californians are not required to report these payments as income for federal tax purposes.

States Exempt from IRS Taxation

The IRS has exempted several states, including California, from federal taxation on pandemic relief payments. These payments are categorized as general welfare and catastrophe relief, thus not subject to federal income tax.

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Concerns and Information

If you encounter issues related to your personal information or payment:

  • If your bank details have changed, expect to receive your payment by debit card in the mail, with processing times of 10-14 weeks.
  • If you’ve moved or your address has changed, update your mailing information on MyFTB or contact the relevant authorities.
  • Your personal data will not be used for marketing purposes by Money Network and New York Community Bancorp, as stated in their privacy policy.

Contact Information

If you believe you are entitled to a California Middle Class Tax Refund and have not received it by February 14, 2023, please contact customer service through the official website, Additionally, for assistance with your California Middle Class Tax Refund, you can reach Money Network customer service at 800-542-9332.

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