
It's a chaotic kickoff to tax season. A week after telling millions of taxpayers to hold off on filing their returns so it could work out some last-minute questions, the IRS gave the go-ahead Friday.
At issue was whether or not special payments made by 21 states throughout 2022 would be taxed. These include many of the one-time assistance payments and tax rebates, such as California's middle-class tax refunds worth up to $1,050 and Maine's $850 pandemic relief checks.