If you’ve been shocked at the gas pumps lately, you’re not alone. Prices have been soaring nationwide – costing more than ever – and American families are struggling to keep up with this nearly guaranteed aspect of their lives. While there have been some bills debated in the halls of the Capitol Building, including a bill that would send people money monthly whenever gas is more than an average of $ 4 a gallon nationally, those are probably far from passing. But if you live in California, there may actually be relief on the way in the form of a $ 400 gas tax credit.
California Governor Gavin Newsom announced the details of the gas rebate proposal which includes $ 400 direct payments for people who have vehicles registered in the state. They would also get three months of free public transit. The program would cost an estimated $ 11 billion, with $ 9 billion being used for rebates, according to KTLA News.
NEW: we’re proposing $ 11 BILLION in relief, including a $ 9 billion tax refund for rising gas prices.
– $ 400 per registered car
– 3 months of free public transitpic.twitter.com/XsAn0kuokP
– Gavin Newsom (@GavinNewsom) March 23, 2022
“That direct relief will address the issue that we are all struggling to address and that’s the issue of gas prices – not only here in our state but of course all across the country,” Newsom said in a video posted to Twitter.
The gas rebate, if it happens, does not have an income requirement to be eligible, and it would be based on vehicle registrations and not individual tax records. The rebates would be provided through debit carts, with every single person being eligible to receive up to two payments. For families that have more than one vehicle, up to two cars maximum would be eligible for the gas price rebate.
Newsom’s office said if the gas rebate proposal is approved, the first payments could go out to car owners in July of this year.
This new rebate comes while, of course, federal Democrats released a plan last week aiming to provide monthly direct payments through 2022 to offset the price of gas but only when the national gas price average is at or above $ 4 a gallon. Currently, the national gas price average is $ 4.24, according to AAA. The monthly checks would provide $ 100 to individuals and $ 200 to couples, as well as additional money if you have dependents, and would be an income-limited plan, unlike California’s proposed rebate.