The Middle Class Tax Refund is a one-time payment to California residents who meet the following eligibility criteria:
- Their 2020 tax return was filed by October 15, 2021 (or if an ITIN application was pending on that date and they received their ITIN, by February 15, 2022)
- They meet the California AGI limits for their filing status.
- In 2020, they weren't eligible to be claimed as a dependent.
- In 2020, they were a California resident for six months or more.
- They are a California resident on the date the payment is issued.
The state is issuing payments between October, 2022 and January, 2023. The payments are being made by either direct deposit or debit card.
The refund will have no impact on the taxpayer's 2022 or 2023 California state tax returns.
The IRS has not published specific guidance regarding the impact on federal tax returns.
Note that if the taxpayer utilized a bank product to facilitate their California tax refund, they will receive their MCTR by debit card.
Complete information is at the California FTB website here.
