With the federal tax season officially ending in mid-April, many taxpayers expect their tax refund payments to arrive in their bank accounts soon, if not already. This year, the average refund issued by the Internal Revenue Service (IRS) to taxpayers was just under $3,000. However, this state is also busy issuing refunds to its citizens, with eligible residents soon expecting to receive a one-time payment of $500 in their bank accounts.
The distinction between state and federal income taxes
Every year, all citizens of the United States must pay and file federal income taxes. Even if you do not earn enough to pay federal income tax, you must still file to be eligible for certain tax rebates and refunds. In general, you are eligible to file your income tax if you meet the following income requirements:
- Your income exceeds $14,600 as a single taxpayer under the age of 65.
- Your income exceeds $16,550 as a single taxpayer over the age of 65.
- You have more than $400 in net earnings from self-employment.
- Other qualifying income criteria as specified by the IRS.
While all US citizens must follow these rules, they vary slightly when it comes to state taxes. 42 states in the United States levy an income tax. Alaska, Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, and Wyoming don’t require their residents to pay income taxes.
This group will receive $500 payments this month
While the federal government has mostly finished releasing tax refunds for the 2024 tax year, Georgia residents will be surprised to learn that they are about to receive a refund. Gov. Brian Kemp recently signed legislation that will provide $1 billion in tax relief to Georgia residents. The legislation not only lowers the income tax rate from 5.39% to 5.19%, effective January of this year, but also provides a one-time tax refund.
If you filed your taxes on time by the May 1 deadline, you can expect to receive your payment within 6-8 weeks, with the first payments arriving in mid-June. This deadline is separate from the April 15 deadline for federal income taxes.
The IRS continues to release the final federal income tax refunds
Non-Georgia residents, your federal tax refund may still be on the way. While the IRS has issued the majority of tax refunds by this point, you may still be due for your refund if you filed your income after the April 15 deadline, or if you filed your taxes on time but chose to do so by mail and have your refund distributed via mail-in check.
To see if you are eligible for a refund, use the IRS’s ‘Where’s My Refund?’ tool to confirm that the refund you are expecting has not yet arrived. If you are certain that you should have received a refund but have yet to receive it, it is possible that the IRS is withholding the refund, particularly if you owe any other state or federal debt. If you have any further questions about your taxes or refunds, please contact the IRS.
