BACK NEARLY $3 BILLION TO RESIDENTS. GOVERNOR BAKER TODAY, RELEASING THE PLAN TO MAKE IT HAPPEN. ED HARDING JOINS ME NOW, SO ED, TELL US WHAT THIS ALL ABOUT. ED: THE $3 BILLION FIGURE IS LARGE AND IT IS GOING BACK TO ALL OF US. BASICALLY THE STATE HAS TOO MUCH TAX REVENUE, AND BECAUSE OF A LAW FROM 1986, THEY HAVE TO GIVE IT BACK TO US. WE ARE TALKING OVER $2.9 BILLION THAT WILL FUNNEL BACK INTO RESIDENTS’ POCKETS. WE’VE BEEN TELLING YOU ABOUT THIS FOR WEEKS. AND TODAY THE GOVERNOR’S OFFICE DETAILED THE WHO, THE HOW, AND THE WHEN. THE ADMINISTRATION SAYS YOU MUST FILE A 2021 STATE TAX RETURN ON OR BEFORE OCTOBER 17. MOST OF US HAVE PROBABLY ALREADY DONE THAT. THE STATE WILL USE THOSE RETURNS TO CREDIT YOU IN THE FORM OF A CHECK IN THE MAIL, OR DIRECT DEPOSIT. YOU WILL ROUGHLY GET A REFUND — I AM GETTING COMPLICATED HERE, I APOLOGIZE. ABOUT 13% OF YOUR PERSONAL INCOME TAX LIABILITY FROM THE 2021 TAX YEAR. USE THAT AS YOUR GUIDE, CHECK YOUR TAX LIABILITY AND YOU WILL GET 13%, ROUGHLY. THE STATE SAYS THE REFUNDS WILL START GOING OUT THIS NOVEMBER. IT SHOULD ARRIVE THANKSGIVING OR EARLY CHRISTMAS. JESSICA: YOU HAVE GOT A MONTH. ED: MAKE SURE YOU ARE IN BY OCTOBER 17, WHICH MOST PEOPLE ARE ALREADY. JESSICA: EVERYBODY’S REFUND WILL BE DIFFERENT. WE HAVE A LINK TO THE REFUND CALCULATOR ON THE WCVB APP. YOU CAN FIGURE H
Massachusetts announces plan to return $2.941 billion to taxpayers starting in November
Individuals can expect 13% refund of tax liability, officials said
Massachusetts taxpayers could receive their portion of nearly $3 billion in excess tax revenue from the state before the holiday season. Auditor Suzanne Bump certified Thursday that the state must return $2.941 billion to taxpayers under a 1986 tax cap law known as Chapter 62F. The law sets a cap on state tax revenue, which was exceeded in the 2022 fiscal year, leading to an overage of $2,941,499,731.Gov. Charlie Baker’s administration announced that the excess revenue will begin being returned to eligible individuals starting in November.”With families facing continued pressure from high prices and inflation, these returns will provide some needed relief,” Baker said in a statement. “Even with nearly $3 billion going back to taxpayers, significant state and federal resources remain, and we look forward to working with the Legislature to invest this funding into our economy, communities and families.” To be eligible, the administration said individuals must have filed a 2021 state tax return on or before Oct. 17.Those who are eligible will receive a credit in the form of a check sent through the mail or a direct deposit. The administration estimated that eligible taxpayers will receive a refund equivalent to 13% of their personal income tax liability from the 2021 tax year. “This percentage is a preliminary estimate and will be finalized in late October, after all 2021 tax returns are filed,” officials said. LINK: The state created a “refund estimator” tool that can be used to approximate an individual taxpayer’s refund.
Massachusetts taxpayers could receive their portion of nearly $3 billion in excess tax revenue from the state before the holiday season.
Auditor Suzanne Bump certified Thursday that the state must return $2.941 billion to taxpayers under a 1986 tax cap law known as Chapter 62F. The law sets a cap on state tax revenue, which was exceeded in the 2022 fiscal year, leading to an overage of $2,941,499,731.
Gov. Charlie Baker’s administration announced that the excess revenue will begin being returned to eligible individuals starting in November.
“With families facing continued pressure from high prices and inflation, these returns will provide some needed relief,” Baker said in a statement. “Even with nearly $3 billion going back to taxpayers, significant state and federal resources remain, and we look forward to working with the Legislature to invest this funding into our economy, communities and families.”
To be eligible, the administration said individuals must have filed a 2021 state tax return on or before Oct. 17.
Those who are eligible will receive a credit in the form of a check sent through the mail or a direct deposit.
The administration estimated that eligible taxpayers will receive a refund equivalent to 13% of their personal income tax liability from the 2021 tax year.
“This percentage is a preliminary estimate and will be finalized in late October, after all 2021 tax returns are filed,” officials said.
Read More: Mass. plans to return $2.94B to taxpayers; Here’s how to estimate your share