Important points about intercepting tax refunds

1. No matter how much past-due support a parent owes, the most that can be intercepted is the amount of the tax refund itself. For example, the refund is $200, and the past-due support owed is $500. Only $200 (the full refund) can be intercepted.
   
   
2. If the IRS or state Department of Revenue recalls the intercepted tax refund, the parent who received the intercepted money must return the money to the Wisconsin Support Collections Trust Fund. Recalls can happen for a number of reasons, such as a mistake on the tax return. If the parent cannot repay all the money at once, half of all future support payment will be used to repay the recalled amount.
   
   
3. When the Trust Fund gets a federal tax intercept from a joint return, the paying parent gets immediate credit. The parent getting the payment gets the money about six months later (after the hold).
   
   
4. If a parent is certified for state tax intercept, lottery winnings may also be intercepted to pay past-due support.
   
   
5. If a parent is certified for state tax intercept, payments from the Wisconsin Department of Administration (DOA) may also be intercepted to pay past-due support.
   
   
6. If a parent is certified for federal tax intercept for $2,500 or more, the parent will not be issued a passport.

Go back to Case Management Services

Child Support Home  |  Parent & Guardian Information  |  Subject Index