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Hawaii Gov. David Ige expects direct deposit tax rebates to arrive by end of week

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State tax rebates of $100 and $300 that were expected earlier this month will now appear in taxpayers’ direct deposit bank accounts “in the next day or so,” Gov. David Ige told the Honolulu Star-Advertiser’s “Spotlight Hawaii” livestream program today.

Taxpayers who previously received refunds via check will have to wait longer.

Paper checks should all be received by taxpayers by the end of October, Ige said, although the availability of paper stock could lead to further delays.

“All of the direct deposit refunds have been processed so anyone who got a direct deposit refund for their income taxes should receive the refund in the next day or so,” Ige said. “They’ve all been processed. It’s in the process of being distributed to the banks. The paper checks continue as we get (paper) stock to cut the checks. We are cutting the checks. … We are actually ahead of schedule in terms of getting refund checks out.

A potential problem in the supply chain’s ability to deliver paper stock “is the only thing that would be a delay” Ige said.

Taxpayers who received refunds both via a physical check or direct deposit “don’t have to do anything,” Ige said. “… You will get that rebate.”

Ige previously announced that the first direct deposit payments were expected to arrive on Sept. 12. He gave no explanation today for the delay.

In all, the state expects to send some $300 million to taxpayers’ and their dependents, depending on the size of their household incomes.

People earning under $100,000 are eligible for $300, including another $300 for each spouse and dependent, adding up to $1,200 for a family of four earning less than $200,000. Households that earn over $100,000 for a single person, or $200,000 for a married couple, qualify for a $100 rebate for each spouse and dependent.

About 90% of rebates are expected to be at the $300 level.

Ige proposed $100 rebates during his State of the State address in January to help residents and the economy continue to bounce back from the financial hits triggered by the COVID-19 pandemic that strangled Hawaii’s economy beginning in March 2020.

As the blow to consumers continued in all areas of spending this year, the state Legislature added the $300 level of rebates for low and moderate wage earners.

To be eligible, tax filers must have been Hawaii residents for at least nine months. People convicted of a misdemeanor or felony and incarcerated for all of this year, as well as dependents held at a youth correctional facility for all of this year, are not eligible.

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