Massachusetts

$3 Billion in Excess Taxes Heading Back to Mass. Taxpayers Starting Tuesday

Thanks to a state law that was passed in 1986, the Department of Revenue is required to issue back tax money to Mass. residents if revenues go over a certain cap

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As Massachusetts consumers face rising energy costs ahead of winter, some people will get some much-needed relief in the form of tax refunds.

People could be seeing the money as soon as Tuesday, as more than $3 billion goes back to Bay State taxpayers.

The state has billions of dollars in excess tax revenue to pay back.

About 3 million people will get one of those refunds, but to qualify, you must have filed a 2021 state tax return on or before Oct. 17 of this year. The money will be distributed on a rolling basis through Dec. 15.

This is only the second time this has happened, since the law passed in 1986.

It's called Chapter 62F, and it requires the state Department of Revenue to issue a credit to taxpayers, if the total tax revenues exceeds an annual cap that's tied to wage and salary growth.

Massachusetts tax refund calculator

The money will be returned to eligible taxpayers by the state Department of Revenue in proportion to their personal income tax liability in Massachusetts incurred in the immediately preceding taxable year -- Tax Year 2021.

The state is giving people up to about 14% back of what they owed in state personal income tax last year, which will be given either by direct deposit or a check sent in the mail.

As an example, a person who made $50,000 last year, and paid the state back $2,500, could get about $350 back.

Credits are subject to offsets, state officials said, including for unpaid tax liability, unpaid child support and certain other debts.

You can use this website to get an estimate of how much money you could get back in the refund.

A call center is also available at 877-677-9727 to answer questions about the Chapter 62F taxpayer refunds. It is open Monday through Friday, from 9 a.m. to 4 p.m.

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