Can Social Security benefits be garnished, levied or otherwise withheld by the Federal government?
Yes. There are a number of circumstances in which the Federal government can garnish Social Security benefits. They include: • To enforce child support or alimony obligations under Section 459 of the Social Security Act; • Internal Revenue Service (IRS) can levy against benefits to collect unpaid Federal taxes according to Section 6334(c) of the Internal Revenue Code; • IRS can collect taxes due by levying up to 15 percent of a monthly benefit until the debt is paid; • IRS allows beneficiaries to have a portion of their check withheld to satisfy a current year Federal income tax liability according to Section 3402 (P) of the Internal Revenue Code; • Other Federal agencies can collect money from benefits to pay a non-tax debt owed to that agency according to the Debt Collection Act of 1996 (Public Law 104-134); and • Under the Mandatory Victim Restitution Act, certain civil penalties provide the right to garnish benefits under 18 USC 3613.
