How does the IRS Tax Offset program work?
A. If a non-custodial parent is behind in payments by $500 or more, the IRS will seize any refund that is due. IRS refunds are released to the custodial parent the day after posting to SETS if there are no assigned arrears (amount due owed Job & Family Services or formerly Human Services) unless the absent parent filed a joint return. In the case of a joint return, the IRS refund will be released in six (6) months. If there are assigned arrears, they will be paid before arrears owed the custodial parent. The law allows the Child Support agency to intercept any federal or state tax refund to pay delinquent child support or to reimburse the state for welfare dollars. You should have received a letter on or about October 1 of last year informing you of the plan to take your tax refund.
