Nearly 3 million one-time income tax rebates have been issued in Virginia so far, and more are on the way, Virginia Secretary of Finance Steve Cummings said Tuesday.
“We have a lot of happy taxpayers out there who got their checks in September,” Cummings said, while addressing the Virginia Senate Finance and Appropriations Committee. The rebates were approved by the Virginia General Assembly earlier this year.
Individual taxpayers are receiving $250, and couples who file jointly are getting $500, although the rebates for some taxpayers have been reduced or withheld in order to satisfy existing debts.
According to Cummings, 1.2 million rebates have been issued through direct deposit, and 1.5 million have gone out via checks in the mail over the past month — and the rebates are not done yet.
While most Virginians file their tax returns by May, the state allows for an automatic six-month extension, meaning some people still have until the end of October to file. As a result, Cummings said Virginia will likely issue about 400,000 additional rebates to cover those who are filing now.
“We will issue rebates until we have completed the process for all eligible returns filed by November,” said Cummings.
Taxpayers can contact the Virginia Department of Taxation online or by phone to determine their eligibility for the rebate, the amount they will receive and when they can expect to receive it.
The tax rebates that have been issued so far total more than $900 million, Cumming said. Despite that, state revenue grew by nearly 8% in the first three months of the fiscal year that started in July.
Cummings warned, however, that economic indicators point to a possible recession. He cited persistently high inflation, rising interest rates and volatility in the financial markets.
“The storm clouds are getting closer and I think more troubling for everybody,” Cumming said. “We’re obviously watching that very closely.”
