It has been reported that several taxpayers throughout the country would be receiving tax rebates or stimulus check payments of around $13,284 over the next couple of weeks. The aforementioned direct payments, as well as the rebate checks, are definitely a major way of helping out citizens who are still reeling from the impact of inflation.
Incidentally, the latest Consumer Price Index did rise to around 8.3% in August, with gasoline, shelter, and food heavily contributing to the increase in price- something that the citizens are definitely feeling. However, there has been some relief issued by the states even when the federal government doesn’t seem too interested in issuing any further payments. The last few months have already seen state legislators devising creative methods to ensure that the people in the state receive some form of welfare.
Will There Be A Stimulus Check Payment From The Government?
Yet, there is still a smattering of hope amongst the common citizens that the federal government might issue a stimulus check sometime soon. But how far can that be ascertained? As we know, the federal government had been working throughout the clock when the pandemic was at its height in order to ensure that struggling citizens received some form of economic welfare from the government.
Now, there are many experts who believe that these exact relief efforts led to a massive increase in inflation by around 2.5%. The Feds did raise the rate of interest to make an attempt at bringing down the inflation which has definitely worked to a certain extent. Nevertheless, they have also made it clear that they would be continuing down this train of thought- regardless of how the market might act up.
This was definitely felt on Friday when Dow lost around 700 points in trading. Experts have now warned that such efforts in fighting inflation could cost around 1.2 million jobs, which would even send the entire nation into recession. Now, if that were to happen, there is a good chance that some American citizens would be releasing another stimulus check payment.
Interestingly, just a study of such events would imply that the country could see itself in a timeless loop- with stimulus payments being issued to counter financial instability- which leads to recession again. If such a case were to arise, the feds would lower the rates of interest, and issue the funds necessary, after which the cycle would continue. This could also serve to increase the overall national debt, which would again result in higher taxes to pay for all that money that is viewed as ‘free’. Of course, this would be the case even more if the country actually moved towards a serious recession.
The main question that comes up is whether American citizens really ought to see if they will be receiving another stimulus check payment in the event of no recession. Currently, the efforts made by the Feds have been to curb the rate of inflation, and yet one can see how the prices of food and gasoline still remain far higher than what they were just a year ago.
Now, while the prices are seemingly on the fall, American workers have their work cut out for them to make ends meet with the income that they have. Also, the federal government has not currently indicated that any stimulus payment would be issued this fall- but there are always a number of states that would be providing some form of aid through tax refunds and other efforts.
Some States Have Been Issuing Stimulus Check Payments
In the state of Alaska, Governor Mike Dunleavy has already announced that most of the eligible citizens of the state will be receiving stimulus check payments of around $3,284. It has been announced that residents would be scoring an energy relief payment of $650, and another payment of $2,250 as part of the Permanent Fund of the state. For those who are unaware, the Permanent Fund Dividend is a dividend that is issued out of the oil profits of the state- that is also issued out to residents every year- and comes in with a lump sum amount of $2,250.
Just the previous year, around 643,000 citizens received around $1,114 per person. The Permanent Fund dividend has also paid an amount of the state’s oil wealth to the residents every single year. Also, both of the payments were previously issued on the 20th of September, and citizens who were issued the payments through direct deposits should have already received them by now. However, one should also remember that the paper checks would be issued from the 3rd of October.
In the Golden State, Governor Gavin Newsom has already signed the budget of the state in June which includes a sum of $17 billion worth of stimulus check payments in the form of tax rebates. Around 23 million people are already in line to receive the payments of $200 which would go up to $1,050 as these would be offered on a sliding scale.
The payments will then be distributed in October, and continue well into the new year. The payment amounts and the eligibility of such payments are dependent on the tax filing status, income, and size of the household. The maximum payment for individuals that earn less than $75,000 a year would be $350.
In the state of Colorado, Governor Jared Polis decreed that the taxpayers will be receiving tax rebates of around $1,500 in just a few weeks. The program called the Colorado Cash Back does provide payments of around $750 for single taxpayers and a sum of $1,500 for those who are married. In order to be eligible for this stimulus check payment, one needs to be 18 years of age on the 31st of December, and also be a resident of Colorado for all of 2021.