Tax filers, your Middle Class Tax Refund is safe from Uncle Sam.
Two weeks after California began sending income-reporting 1099 forms to recipients, the IRS on Friday said it would not tax the inflation relief payment.
“In the interest of sound tax administration and other factors, taxpayers in many states will not need to report these payments on their 2022 tax returns,” the IRS said in a statement.
READ MORE: Here’s another way to check your MCTR status
California was among 18 states that issued some type of refund to taxpayers in 2022. For those who received an MCTR of $600 or more, a 1099-MISC was issued by the Franchise