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23M Californians to receive 'inflation relief' payments as part of state budget agreement

Taxpayers would receive either $350, $250, or $200 based on their income level with an additional payment of the same amount if they have at least one dependent.

SACRAMENTO, Calif. — Millions of Californians are set to get "inflation relief" payments after an agreement was reached Sunday on the 2022-23 state budget.

"The centerpiece of the agreement, a $17 billion inflation relief package, will offer tax refunds to millions of working Californians. Twenty-three million Californians will benefit from direct payments of up to $1,050," according to a joint statement from Gov. Gavin Newsom, Senate President pro Tempore Toni G. Atkins and Assembly Speaker Anthony Rendon.

Who can get "inflation relief" payments?

Taxpayers would receive either $350, $250 or $200 based on their income level with an additional payment of the same amount if they have at least one dependent.

  • Single filers who make less than $75,000 would get $350.
  • Joint filers with an income under $150,000 would receive $700. If they have at least one dependent, they will receive an additional $350

What else is in the budget?

Gas Tax

The package will also include a suspension of the state sales tax on diesel, and additional funds to help people pay their rent and utility bills

Climate Change

Funds will go toward securing additional power-generating capacity for the summer, accelerating clean energy in the future, and expanding the ability to prepare for and respond to severe wildfires.

Health Care & Education

California would be the first state to offer healthcare to every resident, regardless of immigration status, as part of a $47 billion multi-year infrastructure and transportation package for education and health care.

More than $200 million will go towards reproductive care services.

Billions of dollars will go toward additional funding for universal preschool, children’s mental health and free school meals.

“In the face of growing economic uncertainty, this budget invests in California’s values while further filling the state’s budget reserves and building in triggers for future state spending to ensure budget stability for years to come," according to a joint statement from Gov. Gavin Newsom, Senate President pro Tempore Toni G. Atkins and Assembly Speaker Anthony Rendon. 

Watch more on ABC10

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