California Gas Price Discounts Are Disappearing: Here’s What to Expect

Union 76 fuel pump
A Union 76 gas pump in San Diego. Photo credit: staff photo

California is sending money directly to millions of residents to help them deal with rising costs and high gas prices.

The payments, which began on October 7, range from $200 to $1,050, depending on income and other factors. Approximately 18 million payments will be distributed over the next few months, benefiting up to 23 million Californians. The cash installments are part of a June budget deal.

CalMatters spoke with the state’s Franchise Tax Board to break down what all of this means for you. Here are the facts.

Are you eligible?

To be eligible, you must have filed a 2020 California tax return by October 15, 2021. There is an exception for people who did not file by the October deadline because they were waiting for an ID number. individual taxpayer (as long as they filed before February 15, 2022).

People who did not file a 2020 tax return, including some seniors and people with disabilities, will be excluded.

People who can be claimed as dependents for tax purposes will not receive their own payments.

Payments will also not be made to married or domestic partners who have an adjusted gross income over $500,000. The same is true for many people whose adjusted gross income exceeds $250,000.

You also had to be a California resident for at least six months in 2020 and be a resident at the time your payment was issued.

Undocumented Californians with a valid taxpayer number or Social Security number, who have filed complete 2020 tax returns and meet all eligibility requirements, can receive the payments.

You don’t need to submit any additional forms or complete an application to get paid.

How will you get payment?

Those eligible for payment will receive it either by direct deposit to their bank account or by debit card mailed in, depending on the tax commission. Generally, individuals who filed their 2020 tax return online and received their state tax refund by direct deposit will receive direct deposit.

Most other eligible people will receive debit cards in the mail. The envelope will be clearly marked “Middle Class Tax Refund”.

When will you receive payment?

The first round of payments will go to people who received one of two Golden State Stimulus payments beginning in 2021 and are eligible for direct deposit. The first round of payments is expected to be made between October 7 and October 25.

The rest of the direct deposits are expected to be made between October 28 and November 14. The tax authority expects 90% of direct deposits to be sent in October, according to its website.

Debit cards for people who received one of the Golden State Stimulus payments are expected to be mailed out between Oct. 25 and Dec. 10. All remaining debit cards are expected to be mailed out by January 15.

Why can’t they all be sent at the same time? “There are constraints on the number of direct deposits and postal debit cards that can be issued each week,” Franchise Tax Board spokesman Andrew LePage told CalMatters. “Logistically, it takes time to deliver approximately 18 million payments to Californians efficiently and accurately, protecting both taxpayers and California.”

How much will you get?

The Franchise Tax Board has information, as well as a customer support line, which can be contacted by calling 800-542-9332. The helpline is available in English, Spanish, Mandarin, Hindi, Vietnamese, Korean and Punjabi. The board indicates that other languages ​​can be supported upon request.

CalMatters is a public interest journalism company committed to explaining how the California State Capitol works and why it matters.

About Kristina McManus

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