The first instalment of the expanded child tax credit will start to hit the recipients’ bank accounts starting tomorrow. Apart from the child tax credit, many in California may get a new one-time coronavirus stimulus check of up to $600 as well.
On Monday, Gov. Gavin Newsom signed the $100 billion budget deal. This budget deal includes sending a one-time stimulus payment of up to $600 directly into the recipients’ bank accounts. The stimulus check of up to $600 will go to qualifying individuals with income between $30,000 to $75,000. Moreover, those with kids will get an additional $500 in stimulus payment.
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It is the second stimulus check that California will be sending this year to their residents. The first payment, called the "Golden State Stimulus," was sent out in April to qualifying individuals with income less than $30,000.
The second stimulus check is an extension of the earlier program, and thus, is referred to as “Golden State Stimulus II.” Newsom first proposed the Golden State Stimulus II in May after the state witnessed a budget surplus of $76 billion.
“The plan creates the biggest state tax rebate in American history, expanding direct payments to middle class families for a total of $12 billion in stimulus payments that will go directly to middle class Californians and families,” read a statement from the governor's office.
When To Expect The Payment?
Talking about when Californians can expect the stimulus payment, the state officials earlier said that they expect the payment to go out in early September. However, since the governor signed the budget 11 days after the July 1 deadline, this may delay the checks by a couple of weeks.
Those who already received the check in the first round will not be eligible for the payment in the second round. Still, about two-thirds of Californians are expected to qualify for the stimulus check.
Moreover, the payment will go to those who lived in California for more than half of the 2020 tax year, as well as at the time of issuing the check. Also, those eligible for the stimulus payment should have filed their 2020 tax return. Those who haven’t yet filed their return have until Oct. 15 to file their return to be eligible for the stimulus payment.
Those who are claimed as dependents by another taxpayer would not be eligible to get their own payment.
Those eligible for the stimulus checks don’t need to do anything, they will get the payment automatically in their bank account. The CFTB (California Franchise Tax Board) is overseeing the distribution of stimulus checks. After the CFTB starts to send out the payments, it will share more information and make tools available to track the payment.
You can find more information on the Golden State Stimulus II by visiting this link.