Most residents whose states doled out some form of payment to account for rampant inflation will not have to report that income to the Internal Revenue Service.
The agency, which had asked residents in 21 states to hold off sending in their returns until officials could decide what should and should not be taxed, issued its decision on Friday.
In a summary of the IRS decision, The New York Times reported that the logic of the IRS was that payments for disasters or welfare are not taxable.

That’s good news for people in 16 states — California, Colorado, Connecticut, Delaware …