Can CSSD collect from federal tax refunds? What happens to money collected from IRS refunds?
Yes, CSSD can request that the IRS send us the refund of a parent who owes child support. Per federal law, IRS refunds may not be used for current support payments or to pay money owed when the children are over 18. If the custodial parent was never on public assistance and there are arrears owed in the case, the IRS refund will go to the custodial parent. If the custodial parent has been on public assistance and there is a debt owed to the state, the IRS refund goes to the state. If the noncustodial parent files a joint return, CSSD will hold the IRS refund for six months. This gives the spouse of the noncustodial parent an opportunity to recover her/his share.