Your Inflation Refund From New York Will Cost You
New York families should be receiving much-needed support soon, if not already. Governor Kathy Hochul and New York State lawmakers authorized the return of $3 billion to taxpayers to help with inflation costs, which are sky-high. I remember in the fall of last year, a whole lot of people were complaining about how high grocery prices were. NEWS FLASH! Grocery prices are higher now, even though they were supposed to have gone down in January. According to the federal government, the USDA says,
"Food prices rose faster than overall inflation. The CPI for all food increased 0.4 percent from July 2025 to August 2025. Food prices in August 2025 were 3.2 percent higher than in August 2024."
We definitely need the federal government to focus on bringing down prices, as promised.
KEEP READING: New York Families See SNAP Benefits Rise Amidst Rising Grocery Costs
Even though Gov. Hochul and New York State are trying to help New York families fight rising costs, the federal government is still demanding that it get paid. Even though there has been a major reduction in the services provided by the federal government, working families are still responsible for paying federal taxes. The amount that a person will pay in taxes on the inflation rebate checks depends on two things: the amount of the check and the person's tax bracket. While the checks will help families, some do not agree with them. According to The Gothamist, Nathan Gusdorf, Executive Director of the Fiscal Policy Institute, said,
“We already thought that this was not an effective use of state funds. Just to compound how unfortunate this is, it’s now unnecessarily increasing total taxes paid to the federal government.”
KEEP READING: Federal Government Is Suing New York To Get Your Records
Who Is Eligible For An Inflation Rebate Check?
"The 2025–2026 New York State budget provides for the state’s first-ever inflation refund checks. These one-time payments provide relief to New Yorkers who have paid increased sales taxes due to inflation. If you qualify for a payment, you do not need to do anything; we will automatically send you a check."
The checks have started going out to New Yorkers. Almost half of New York State's population - 8 million people - will get checks this fall. Please be aware that the checks will not all go out at the same time. Due to the large volume of money being paid out to New Yorkers, the checks will be staggered.
You do not need to do anything to receive your check. However, in order to be eligible for a check, you must meet certain criteria.
Income Thresholds For New York's Inflation Rebate Checks
- You must have filed Form IT-201, a New York State Resident Income Tax Return, in 2023.
- You must not have been claimed as a dependent by another NY taxpayer.
- You must fall into the income categories below
- Single - Income of $75,000 or less - You will receive a $200 check
- Single - Income of more than $75,000, but less than $150,000 - You will receive a $150 check
- Married filing jointly- Income of $150,000 or less - You will receive a $400 check
- Married filing jointly- Income of more than $150,000, but less than $300,000 - You will receive a $300 check
- Married filing separately - Income of $75,000 or less - You will receive a $200 check
- Married filing separately - Income of more than $75,000, but less than $150,000 - You will receive a $150 check
- Head of household - Income of $75,000 or less - You will receive a $200 check
- Head of household - Income of more than $75,000, but less than $150,000 - You will receive a $150 check
- Qualified surviving spouse - Income of $150,000 or less - You will receive a $400 check
- Qualified surviving spouse - Income of more than $150,000, but less than $300,000 - You will receive a $300 check
You can find more details here.
