Now that the New Year is finally here, folks are wondering if they’ll see another stimulus check, and who qualifies for the next payment. Towards the end of 2021, several states and cities across the county received their payments, depending on the programs. Now, Indiana has initiated its own program that will give residents an additional $125 when they file their taxes this year.
The reason for the new “stimulus check” comes from the amount of money that the state has in its reserves. According to Indiana law, if the money in reserves, excluding education, exceeds more than 12.5 percent of the general funding pot, officials must award taxpayers a tax refund.
Earlier, in July, Indiana revealed that the refund would total $545.3million. However, at the time, officials were not yet sure how this number would break down into individual payments. Currently, the state has roughly $4 billion in reserves, amounting to 23 percent of the total funding, per The U.S. Sun. The state has now determined that 4.3 million Indiana residents will receive a $125 payment when they file taxes. Residents will receive the money via direct deposit or check, depending on how they submit the report.
In addition to the tax refund, the state will also be working with approximately 910,000 low-income residents that pay taxes but do not file returns.
Regarding the excess funds and stimulus checks, Indiana Governor Eric Holcomb shared, “Despite a pandemic, Indiana exceed all expectations and closed the state fiscal year with an unprecedented amount in reserves.”
Holcomb continued, “We have an obligation to put this money back into the hands of taxpayers instead of living it in the hands of (the) government.”
Indiana residents can claim these payments until April 2022.
Americans Could See Stimulus Checks in February 2022
While Indiana residents will see an extra check, White House officials reported that they are working with the U.S. Treasury to try and pass new spending that will amount to two separate stimulus checks for Americans in February 2022.
However, this motion is receiving pushback from select members of Congress, including Sen. Joe Manchin’s (D-WV). Recently, Manchin explained the reasoning behind his hesitancy to support the new spending. He also claimed that the cost of the new bill would be more than $4.5 trillion.
“My Democratic colleagues in Washington are determined to dramatically reshape our society in a way that leaves our country even more vulnerable to the threats we face,” Manchin said in a statement. “I cannot take that risk with a staggering debt of more than $29 trillion and inflation taxes that are real.”
In order for the bill to pass, Biden will need Manchin’s support. As it stands now, though, the new stimulus payments are questionable at best.