Florida

IRS: Floridians Who Received State Inflation Relief Payments Should Wait To File Taxes

UPDATE: IRS Issues Guidance On Tax Status Of Florida Inflation Relief Payments

The Internal Revenue Service is advising taxpayers who received state inflation relief payments to wait to file their taxes until the IRS determines whether those payments will be considered taxable income.

Taxpayers in 18 states may be impacted by the inflation relief payments made in Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Idaho, Illinois, Indiana, Maine, Massachusetts, New Mexico, New York, Oregon, Rhode Island, South Carolina, and Virginia.

In Florida, parents and guardians received $450 per child in inflation relief payments.

“The IRS is aware of questions involving special tax refunds or payments made by states in 2022; we are working with state tax officials as quickly as possible to provide additional information and clarity for taxpayers. There are a variety of state programs that distributed these payments in 2022 and the rules surrounding them are complex. We expect to provide additional clarity for as many states and taxpayers as possible next week,” the IRS stated.

“For taxpayers uncertain about the taxability of their state payments, the IRS recommends they wait until additional guidance is available or consult with a reputable tax professional. For taxpayers and tax preparers with questions, the best course of action is to wait for additional clarification on state payments rather than calling the IRS. We also do not recommend amending a previously filed 2022 return.”

Copyright 2011-2023 Brevard Times. All Rights Reserved. Contact Us Privacy Policy