Indiana Governor, Eric Holcomb announced last week that roughly 4.3 million Hoosiers will be receiving a refund when they file their 2021 taxes.
An "Unprecedented Amount in Reserves"
In a statement, Governor Holcomb made reference to an "unprecedented amount in reserves," referring to monies remaining from the state's fiscal budget for 2021, despite the global pandemic.
An Estimated $545 Million
It is estimated that $545 Million will go back into the pockets of Indiana taxpayers when they file their state taxes for 2021.
An estimated $545 million will be returned to Hoosiers after taxpayers file their 2021 state taxes. The Governor is working with leaders of the general assembly on legislation that will streamline the process and make an additional 910,000 taxpayers eligible for the credit. The typical taxpayer liability is approximately $1000. This payment represents a 12-13% one-time tax cut.
It Still Has to Pass
The legislation still has to pass, at which point the Indiana Department of Revenue will begin the process of getting payments out to taxpaying Hoosiers. Payments will be based on how an individual (or couple) filled their 2021 return. For those who apply for an extension, you will receive the payment once you file your return.
How Much Can You Expect?
So just how much can you expect to receive for your refund? The governor's office says taxpayers will see a $125 refund. While not an exorbitant amount, I don't think any of us are going to be upset to see that money on our refunds. It's enough to cover an oil change or two or maybe take yourself and a friend out for dinner. If all else fails, you can tuck it away to pay your 2022 tax liability.
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