Tax rebate to be mailed next week

▶️ Listen to this article now.

A minimum of $50 in tax rebate money will be deposited or mailed to all Idaho income taxpayers next week.

Following the largest budget year in the history of the state, individuals will also be sharing in the financial success.

Every person who filed income tax in 2020 will be receiving a tax rebate of $50 or more next week. Citizens could potentially receive a larger total, check amounts are based on a percentage of filed income taxes.

June 30 marked the end of fiscal year 2020. Idaho saw $5 billion dollars in general revenue — a 24% increase compared to the previous year.

The governor’s office credits the additional income to a variety of factors including low cost of living, increase in state citizenship, and the social policies implemented in response to the pandemic.

The state enacted budget cuts in anticipation of the pandemic. But during 2020, Idaho also implemented conservative social policies when compared to neighboring states. Non-Idahoans came to the Gem State to recreate, which increased sales taxes by 18% when compared to 2019.

The budget cuts paired with the increase in revenue earned Idaho a $900 million surplus.

According to a press release from the Governor’s office, a portion of the surplus will be put toward ongoing income and property tax cuts.

“Curbing government spending should be the perpetual mission of public servants,” said Gov. Little in the press release. “Returning taxpayer dollars should always be our goal.”

The rebates are a part of Governor Little’s “Building Idaho’s Future” plan. On Wednesday, the Bonner County Area Transportation Team hosted two of Governor Little’s senior staff members and Senator Jim Woodward to collect public comment about how the surplus should be spent.

The state can spend the $900 million with little restrictions. The same cannot be said for the additional federal money Idaho received at the beginning of 2021.

A further $1.1 billion in federal aid from the American Rescue Plan Act has also been added to the state’s budget. The state decided to not spend ARPA dollars immediately, and are also asking the public for their thoughts about where relief funds should go.

Passed on March 11, ARPA money can be spent on water, sewer, or broadband related projects. Roads can also be repaired, but only in relation to those types of infrastructure projects.

Idahoans can expect to see a check in the mail from the state with their rebate next week. If you recently moved, got a divorce, or a name change, it may take longer for your check to arrive.

If you would like to provide your thoughts about how surplus money should be spent, contact your city commissioners for comment on local projects. Or get ahold of the Governor’s office by going to gov.idaho.gov/contact-us/.