@IRonMaN knows whereof I speak.  Minnesota last year sent out payments to many taxpayers, to make them feel better about Covid or whatever, same as more than 20 states did in 2022.  And IRS said this time last year that those 2022 payments would not be taxable, because either they came under a "general welfare" exclusion, or a "disaster relief" exclusion.  But now Minnesota has been told by IRS that these payments are taxable.  Or at least they have to be reported on Form 1099-MISC (or maybe 1099-G?).  

Same thing has happened in Arizona.  Our Department of Revenue is just getting around to telling taxpayers that IRS has ruled the payments in October 2023, to people who claimed a dependent tax credit on their 2021 return, is taxable.  I am having trouble figuring out how this is different from what California and many other states did in 2022, with some payments not being made until 2023.  

The law allowing the Arizona rebates was signed May 11, 2023, which happens to be the official last day of the Covid disaster.  Meanwhile, I found a story that says the Minnesota governor (his name is Walz) complained that his state's payments were only 15 days late.  But what was the deadline?  Why should there be one?