Alaska is distributing higher Permanent Fund Dividend (PFD) relief payments today, with eligible residents set to receive $3,284 due to the addition of a $662 energy relief check and inflation rising. However, only a select group of Alaskans can receive the payments, subject to certain eligibility criteria.
Eligibility Criteria and Payment Schedule
To qualify for the PFD relief payment, residents must meet specific eligibility criteria. The payment is only available to those who lived in Alaska throughout 2021, submitted a PFD application by March 31, and were not sentenced for a felony or incarcerated in 2021. Residents who are yet to receive their payment can check their application status online through the state Department of Revenue website.
Payment will be made in two installments. Those with “Eligible-Not Paid” status on their application by April 12 will receive their payment today, while another group with the same status by May 10 will receive their payment on May 18, according to a report by The US Sun.
This year’s PFD relief payment is higher than previous years, with eligible residents set to receive $3,284. This amount includes a $662 energy relief check, and inflation has also caused the payment to rise. However, residents should note that only $662 of the relief payment is nontaxable since it is considered a relief payment. The remainder of the payment, $2,622, will be considered taxable by the Internal Revenue Service.
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Residents receiving the PFD relief payment should be aware of the tax implications. The $662 energy relief check is nontaxable, but the remaining $2,622 will be considered taxable income by the IRS. Individuals who have not yet filed their taxes should keep this in mind.
On the positive side, the IRS does not consider relief payments, such as rebates from the state in 2022, as taxable income. Therefore, residents do not have to report them on their taxes.
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