Direct Payment December Update: People Eligible for Checks in Two States

Two states will be sending direct payments to residents this December. Residents in Alabama and Alaska will receive checks.

Alabama residents are set to receive a maximum of $300 beginning December 1 in a one-time rebate after the state reported about a $3 billion budget surplus for the fiscal year.

"From the very beginning, it has been my belief that it is the responsibility of government to be good stewards of taxpayer dollars while actively looking for ways to support citizens through tough times," Governor Kay Ivey, said in a statement.

Ivey suggested the money would help shore up household balances as Alabamans grapple with a high-inflation environment.

"Our country is in the midst of tough times, and Alabama families from all walks of life are unfortunately seeing that their paychecks aren't going as far as they once did. Thanks to our unwavering commitment to fiscal responsibility, one-time tax rebates will be with our hard-working Alabamians in time for the holidays," she added.

Only those who filed a 2021 income tax return on or before October 17, 2022, will qualify for the rebates.

"Non-residents, estates or trusts or anyone who was claimed as a dependent during the 2021 tax year do not qualify," Governor Ivey's office said.

Alabamans are set to receive $150 dollars for single filers or married couples who filed separately while joint filers qualify for a $300 rebate. The cash is not taxable, the governor's office said.

Alaska To Make Direct Payments

Meanwhile, in Alaska, the state's dividends from its oil revenues paid out to its citizens this year is a little over $1,300. The payments for 2023 went out beginning November 16.

Some residents, however, may see their dividends sent to them beginning on December 14 if their applications have an "eligible-not paid" status on December 6. For those whose "eligible-not paid" status shows January 10, 2024, their funds will be distributed on January 18, 2024, according to the state's Department of Revenue.

"As applications are determined eligible for payment, the division will continue to distribute dividends each month," according to the Department of Revenue.

The dividend the state distributes to residents kickstarted nearly 50 years ago through the Alaska Permanent Fund. It is financed by oil revenues, and the fund is valued at about $73 billion as of October 31, according to data from the Permanent Fund Corporation.

But declining oil production has raised concerns among some in the state about the long-term sustainability of the fund. A legislator told Newsweek recently that Alaska may need to raise taxes to plug a budget deficit.

In 2023, the permanent dividend amount from the fund was less than last year's amount of about $3,300, according to the Alaska's Department of Revenue.