New York governor, Kathy Hochul, announced that the state will be distributing inflation refund checks to more than 8 million New Yorkers.
Last week, as part of New York’s fiscal year 2026 budget, Hochul announced the state’s “first-ever inflation refund checks” which is slated to put $2bn back into the pockets of millions of New Yorkers.
“While inflation has driven prices higher, sapping the income of New Yorkers, it has also driven sharp increases in the state’s collection of sales tax. Governor Hochul believes that money belongs to hardworking New York families and should be returned to their pockets as an inflation refund,” the governor’s office said.
Under the new plan, joint tax filers with income up to $150,000 will receive a $400 check and joint filers with income of more than $150,000 but no greater than $300,000 will receive a $300 check. Single tax filers with income up to $75,000 will receive a $200 check and single filers with incomes of more than $75,000 but no greater than $150,000 will receive a $150 check.
“The cost of living is still too damn high, so I promised to put more money in your pockets – and we got it done,” Hochul said, adding: “When I said your family is my fight, I mean it – and I’ll never stop fighting for you.”
The governor’s office said that more details regarding the timing for distributing inflation refund checks will be announced in the “near future”.
Also part of the fiscal year 2026 budget is Hochul’s plan to ensure free school meals including breakfast and lunch for all of the state’s 2.7 million students. Under the plan, which Hochul proposed earlier this year, the free school meals are estimated to save families $165 per child in grocery spending each month.
Hochul also announced plans to cut taxes for more than 75% of all tax filers in New York, which is expected to deliver nearly $1bn annually in tax relief to 8.3 million New Yorkers.
The governor’s office said: “Once the rate change is fully phased in, the middle class tax cut will deliver hundreds of dollars in average savings to three out of every four taxpayers in the state. This will bring taxes for the middle class to their lowest level in 70 years.”
