LANSING, Mich. (Michigan News Source) – In the heart of Lansing, Michigan, the anticipation of an increase to the bank accounts of Michiganders was the air as Democratic Governor Gretchen Whitmer proudly announced a significant boost to the Working Families Tax Credit.

As Gov. Whitmer stood in front of the press on Monday, she promised relief to working families across the state after a collaborative effort between her administration and the Michigan Legislature resulted in eligible Michigan families starting to receive Working Families Tax Credit supplemental checks this week.

An average of $550 being mailed to qualified Michiganders this week.

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$1 billion in tax cuts have been set in motion with an average of $550 destined for the pockets of more than 700,000 households in the Great Lakes State.

Gov. Whitmer said, “Last year, the majority in the Michigan Legislature and I quintupled the Working Families Tax Credit, which will put hundreds more dollars back in the pockets of 700,000 working families.”

Governor says it will lift families out of poverty.

Gov. Whitmer went on to say, “These checks that are starting to be mailed out this week will lift tens of thousands of people out of working poverty and directly benefit half the children in Michigan by helping their moms and dads pay the bills, put food on the table, and buy school supplies. We got your back in Michigan as you work hard and support your family. Together, let’s build a brighter future and a stronger economy.”

In order to qualify for the tax relief, which is an extension of the federal Earned Income Tax Credit, individuals had to meet specific requirements and file a federal income tax return. Even if no tax was owed or filing wasn’t mandatory, filing a return was essential. If the federal credit was granted, the state of Michigan added an extra 30% credit when taxpayers filed their state income tax return.

For the 2022 tax year, eligible taxpayers have already received a 6% Michigan Working Families Tax Credit when they filed their state individual income tax returns. However, a new state law, effective February 13th, means that these taxpayers will now receive a supplemental check for the remaining 24% portion of their 2022 tax year Working Families Tax Credit.

Tax credit continues for 2023 tax year.

Governor Whitmer emphasized that the Michigan Working Families Tax Credit for the 2023 tax year will be applied at the full 30% rate when taxpayers file their state tax returns for that year.

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State Treasurer Rachael Eubanks, standing by Governor Whitmer’s side, echoed Whitmer’s words by saying, “Michigan’s Working Families Tax Credit at the 30% rate applies to the 2022 tax year and beyond. I encourage those who are eligible for this tax credit to explore filing electronically or connecting with a reputable tax preparer when filing a return this year. Thousands of dollars could be left on the table if these credits are not claimed.”