Some Michigan residents may receive a direct deposit of up to $550.00 USD into their bank account. In this sense, it is estimated that this financial assistance will arrive by February 13 and benefit more than 700,000 eligible families.
The truth is that this benefit is part of the Working Families Tax Credit, which Governor Gretchen Whitmer announced last year.
This is also known as the Michigan Earned Income Tax Credit (EITC). In addition, beginning in fiscal year 2023, the federal credit will increase from 6% to 30%.
It should be clarified here that eligible residents can receive an additional check for their tax return from the previous year. All this because the stimulus was applied retroactively until 2022.
Who will benefit?
According to Governor Gretchen Whitmer, this benefit directly helps half of Michigan’s children. Likewise, it affects parents as well, as they can use this extra money to pay bills, buy food or school supplies.
Whitmer also pointed out that inflation in the United States is falling and take-home pay is rising.
“We still have more work to do and today’s announcement will help them get some relief sooner than expected,” the governor said.
Let us keep in mind that, although the amount each taxpayer receives varies, the average payment is estimated to be $550.00 USD.
The idea of all this is for people to get back the tax money they have already paid. So, a tax credit usually means more money in your pocket because it reduces the amount of tax you owe.
Meanwhile, for those who do not owe taxes, both the Michigan EITC and the federal EITC can generate refunds.
Meanwhile, the extra income can help Michiganders take care of their families. Likewise, it will help cover your living expenses or save for hard times.