With the federal tax season officially wrapping up in mid-April, many taxpayers are expecting their tax refund payments to be hitting their bank accounts soon, if they haven’t already. For this year, the average refund made by the Internal Revenue Service (IRS) to taxpayers was just under $3,000. However, this state is also busy issuing refunds to its citizens, where eligible residents can soon expect to see a one-off payment of $500 hitting their bank accounts.
The difference between state and federal income tax
Federal income tax is what all citizens of the US are subject to pay and file each year. Even if you do not earn a high enough income to pay federal income tax, you must still file your income tax to qualify to receive certain tax rebates and refunds. As a general rule, you are eligible to file your income tax if you meet the following income criteria:
- Your income is over $14,600 as a single taxpayer under the age of 65
- Your income is over $16,550 as a single taxpayer over the age of 65
- You have over $400 in net earnings from self-employment
- Other qualifying income criteria as stipulated by the IRS
While all US citizens are required to follow these rules, they change slightly when it comes to state taxes. 42 states in the US impose an income tax. Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, and Wyoming do not require their citizens to pay income tax.
$500 payments for this group this month
While the federal government has, for the most part, finished releasing the tax refunds for the 2024 tax year, citizens of Georgia will be surprised to hear that they are soon due for a refund. Gov. Brian Kemp recently signed into law legislation that will bring $1 billion worth of tax relief to Georgia citizens, which not only lowered the income tax rate from 5.39% to 5.19%, which began in January of this year, but also brings a one-time tax refund.
According to the Georgia Department of Revenue, residents will be issued a tax refund of up to $500 provided they meet the following criteria:
- You filed individual income tax returns for tax years 2023 and 2024 by the May 1 deadline
- You must have had a tax liability for the tax year 2023
- You must be a Georgia resident or part-year resident, or a nonresident who is a legal resident of another state but works in Georgia or receives income from Georgia sources
If you filed your taxes on time by the May 1 deadline, you can expect to receive your payment within the next 6-8 weeks, with the first payments rolling out mid-June. This deadline is separate from the April 15 deadline required for your federal income tax.
IRS continues to release the last federal income tax refunds
For non-Georgia residents, your federal tax refund may still be on its way. While by this point the majority of tax refunds by the IRS have been issued, you may still be due for your refund if you filed your income late past the April 15 deadline, or if you filed your taxes on time bust chose to do so through the mail and also opted to have your refund distributed through a mail-in check.
To check to see if you do qualify for a refund, you can use the IRS’s ‘Where’s My Refund?’ tool to confirm if the refund you are waiting on still hasn’t arrived. If you are sure that you should be receiving a refund but the payment still has not come through, it could be because the IRS is withholding the refund, especially if you owe any other state or federal debt. However, it is always best to contact the IRS about your taxes and refunds if you still have questions.
Disclaimer: Our coverage of stimulus checks, tax reliefs, tax rebates, tax credits, and other payments is based on the official sources listed in the article. All payment amounts and dates, as well as eligibility requirements, are subject to change by the governing institutions. Always consult the official source we provide to stay up to date and obtain information for your decision-making.
