LANSING, Mich. - More than 700,000 households in Michigan are set to receive tax credit checks next year, providing an average of $550 per family. The announcement was made by Governor [Governor's Name] on Thursday, highlighting the benefits of the Working Families Tax Credit.

These tax credit checks are a result of a new law signed in March, which increased Michigan's Working Families Tax Credit to match the federal government's Earned Income Tax Credit of 30%. Families can anticipate a combined tax refund of $3,150.

The governor expressed that this tax credit directly benefits half of the children in Michigan, enabling parents to utilize the additional funds to pay bills, provide meals, and purchase school supplies.

The Working Families Tax Credit operates similarly to the federal Earned Income Tax Credit, providing tax benefits to families with working individuals earning below a certain income threshold. The amount of credit received depends on household income and the number of children. For instance, a family with two parents earning a maximum of $59,478 and with two qualifying children can receive up to $6,604.

Earlier this year, Michigan expanded its Earned Income Tax Credit from 6% to the federal rate of 30%, increasing the potential tax benefits for eligible families.

Tax credit checks are expected to be mailed out on February 13, 2024, providing financial relief to thousands of households. Notably, the tax credit expansion applies retroactively to the 2022 tax returns. Eligible individuals who claimed the credit received the original 6% credit. In addition to their 2023 tax credit checks, they will also receive an additional check to make up the difference between the original rate and the new 30% tax rate, amounting to 24%.

It is important to note that families do not need to file amended 2022 income tax returns to receive the extra money. The working families of Michigan can look forward to these tax credit checks in February 2024.