Some States Considering Direct Payments Amid Inflation

At least a dozen states have proposed giving rebate checks of several hundred dollars directly to taxpayers, among them California, Kansas, and Minnesota. Critics, including many Republican lawmakers, say those checks won’t go far enough to make a difference in the long run given the pace of inflation and are pushing instead for permanent tax cuts.

Many lawmakers and governors across the country are considering cuts to sales taxes, property tax relief and a reduction or suspension in state gas taxes as well.

The proposals come at a time when many states actually have a surplus of billions of dollars in federal pandemic money.

It’s no coincidence that the relief is being considered during an election year, according to Mark Brewer, a political science professor at the University of Maine.

“There’s some real policy reason to do this,” Brewer said. “But at the same time, it’s also clear that this is an election year, and in an election year there are few things as popular as giving voters what voters see as free money from the state.”‘Yeah, I’ve never paid $4.50 for a gallon of gas.’”

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