What inflation refund checks are and who received them

An inflation refund check is money a state sent back to residents because the state collected more tax revenue than expected, usually during a period of high inflation. These checks were one-time payments, not ongoing benefits. Most inflation refunds have already been mailed — the last major wave ended in 2023.

If you lived in a state that ran a surplus and met that state's residency rules during the tax year in question, you may have received a check. The states that sent them include California, Colorado, Connecticut, Delaware, Florida, Georgia, Illinois, Indiana, Iowa, Kansas, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Mexico, New York, North Carolina, Ohio, Oklahoma, Oregon, Rhode Island, South Carolina, Tennessee, Utah, Vermont, Virginia, and Wyoming. Each state set its own rules about who was included.

Key Takeaways

  • Inflation refund checks were sent between 2022 and 2023 by about 30 states, and most have already been distributed.
  • Each state decided its own rules about who received a check, based on residency and sometimes income or filing status.
  • If you did not receive a check when your state sent them, you can contact your state tax agency to ask why.
  • No new inflation refund checks are being planned at the federal level, though individual states may send refunds in the future if they run another surplus.

How to learn about your state sent refund checks

The easiest way to know whether your state participated is to search "[your state name] inflation refund" or "[your state name] tax refund 2023." This will show you whether your state sent checks and when.

If your state did send refunds, the state tax agency website will have a page explaining who was included, what the payment amount was, and how it was sent. Most states mailed checks, though some deposited money directly into bank accounts if residents had filed electronically. A few states sent both checks and direct deposits depending on how you filed.

What to do if you think you should have received a check but did not

Contact your state's tax agency directly. You can find the phone number and mailing address on your state's official tax website. Have your Social Security number and the tax year in question ready when you call.

The tax agency can tell you whether a check was sent to you, where it was mailed, and why you may not have received it. Common reasons include an address on file that was outdated, a check that was lost in the mail, or residency rules that meant you were not included in that particular refund. If a check was mailed but never arrived, the tax agency can issue a replacement or deposit the money directly.

Uncashed checks and what happens to them

If your state mailed a check and you found it months or years later, you can still cash it. State refund checks do not expire the way personal checks do. Take it to your bank or the state tax agency office and deposit or cash it as you would any other check.

If you lost the check or it was damaged, call your state tax agency and ask for a replacement. They will issue a new one or send the money by direct deposit if you provide banking information.

Whether more inflation refund checks are coming

The federal government has not announced plans to send inflation refund checks. These were state-level decisions made when individual states had budget surpluses. Whether a state sends another refund depends on whether it runs another surplus in the future — something that varies year to year and is not predictable.

Some states have ongoing tax reduction programs or periodic refunds when revenue exceeds expectations, but these are not may provide and differ by state. If you want to know whether your state might send another refund, check your state tax agency's website or sign up for email updates from that agency.

The difference between inflation refunds and other tax refunds

An inflation refund is different from the refund you get when you overpay federal or state income tax during the year. A tax refund happens because you had too much money withheld from your paycheck or made estimated tax payments that were too high. An inflation refund happens because the state as a whole collected more money than it budgeted to spend.

You may receive both in the same year — a regular tax refund from overpaying during the year, and a separate inflation refund from your state's surplus. They are unrelated and come from different reasons.

Frequently Asked Questions

Can I still get an inflation refund check if I moved after my state sent them?

If you moved and did not update your address with the tax agency before the check was mailed, it may have gone to your old address. Contact your state tax agency with your current address and Social Security number. They can reissue the check or send the money by direct deposit instead.

Do I have to pay taxes on an inflation refund check?

No. An inflation refund is a return of tax revenue the state collected, not income. You do not report it on your federal or state tax return, and it does not affect your taxes.

What if I received a check but I was not a resident during the tax year?

Contact your state tax agency and let them know. They may ask you to return the check or repay the amount. It is better to report this yourself than to wait for them to discover it during a review.

Are inflation refund checks the same as stimulus checks?

No. Stimulus checks were federal payments sent during the pandemic to help people with living expenses. Inflation refunds were state payments made because states had extra tax revenue. They came from different sources and were sent at different times.