Child Support FAQs About the Intercept of Economic Impact Payments (COVID-19)

In the Coronavirus Aid, Relief, and Economic Security (CARES) Act of 2020, Congress did not exempt the economic impact payments made under the Act from offset for payment of past-due child support. Here you will find answers to questions for a parent who has a case with DOR.

FAQ for Recovery Rebate Credits – March 2021

If I have to claim a Recovery Rebate Credit (RRC) on my tax return, will DOR be intercepting this if I owe past-due child support? 

Yes. If the IRS issues you any refund based on your 2020 tax return, the entire amount of the refund, including any portion of the RRC, will be subject to intercept for past-due support.

Why is DOR treating the RRC different than if I received an Economic Impact Payment directly from the IRS?

This decision was made by Congress and the IRS that any refund RRC done as part of a 2020 return is subject to intercept by any authorized debt being collected by a government agency, including a state’s child support agency. You can find more information on the IRS Recover Rebate Credit page.

FAQ for Second Round of Stimulus Payments – Dec 2020

Congress just authorized a second round of economic impact payments (also called “stimulus payments”). Will DOR be intercepting these payments if I owe past due support?

No. DOR will not be intercepting any economic impact payments issued by the IRS during this second round of payments.

Why is DOR treating these payments different from the first round of economic impact payments, which were intercepted?

DOR is following the rules set forth by Congress. While Congress required DOR to intercept the first round of payments for parents who owed past-due support, Congress decided to exempt the second round of payments from intercept even if the parent owed past-due support.

FAQ for CARES Act Stimulus Payments – March/April 2020

If I owe past due support, will DOR intercept my economic impact payment?

If you owe past-due child support and DOR submitted your name to the IRS for federal tax refund intercept, then your economic impact payment may be intercepted. DOR submits names to the IRS based on the amount of past-due child support a parent owes as follows:

• If the other parent received public assistance benefits for your child, your name is submitted to the IRS if you owe past-due support of $150 or more
• If the other parent has not received public assistance benefits for your child, your name is submitted to the IRS if you owe past-due support of $500 or more

You can also verify whether your name has been submitted to the IRS by contacting the Treasury Offset Program’s Interactive Voice Response system at 1-800-304-3107.
 

If my economic impact payment was intercepted, will my federal income tax refund also be intercepted?

If your economic impact payment was intercepted, but you still owe-past due support after that payment is applied to your balances, your federal income tax refund may be intercepted. You can avoid the intercept of your federal tax refund intercept by paying the past-due support in full before the intercept occurs.
 

Will my economic impact payment be intercepted if I have been paying my support regularly or was paying regularly until I lost my job because of COVID-19 but owe past-due support?

Yes.  Once support is unpaid and becomes past-due, it can be collected in full at any time, even if you are making regular payments.
 

I have a spouse and children who live with me.  Will their portions of the economic impact payment be intercepted?

The IRS decides how much of the economic impact payment will be sent to DOR but we will not get more than the amount of arrears we certified to the IRS. According to information provided by the IRS, if your spouse has filed for an injured spouse claim with your joint 2019 return (or your joint 2018 return if you have not yet filed your 2019 return), the IRS will send one half of the total economic impact payment due you as a couple to DOR. For example, if you were eligible for $2,400 and your spouse had filed a claim against your 2019 tax return, your spouse should receive $1,200 and your $1,200 would be intercepted. If you and your spouse were eligible for $2,900 (joint amount at $2400 + 1 child at $500), your spouse should receive $1,450 and the remaining $1,450 would be subject to intercept, up to the amount of arrears that were certified. If your stimulus payment is intercepted and your spouse believes that some of the intercepted money belongs to your spouse or children, your spouse will have to contact the IRS directly to resolve this issue. Please visit irs.gov/coronavirus for more information.
 

I am not married but have children who live with me.  Will their portions of the economic impact payment be intercepted?

The IRS decides how much of the economic impact payment will be sent to DOR.  DOR has no control over the amount that the IRS will send; however, we will not get more than the amount of arrears we certified to the IRS.
 

My economic impact payment was intercepted and I want the other parent to get it as quickly as possible.  What do I have to do?

Fill out and return the Release of Economic Impact Payment Form.  If the economic impact payment was for you and your current spouse, you will not be able to release the money early.
 

What if my economic impact payment is intercepted and I don’t owe arrears or disagree with DOR as to the amount that I owe?

If you disagree with amount of arrears DOR says you owe, you can fill out and return the Request for Review of Federal Tax Refund Intercept Form. You will need to explain why you think you owe a different amount of arrears and provide documents (e.g. paystubs or cancelled checks that show direct payments to the other parent; a court order that DOR does not have, etc.) to prove your claim.  You must submit the form to DOR within 15 days of the intercept of the economic impact payment.

Please note that even if you dispute the amount of arrears, if you owe more than the amount of the economic impact payment, DOR will keep the payment and credit it towards your arrears.
 

The other parent told me that their economic impact payment was intercepted.  Why is it still being held and when will it be sent to me?

The Internal Revenue Service provided information that there are spouses married to noncustodial parents with child support arrears where the spouse did not receive their share of the economic income payments that were already sent to Child Support agencies.  The IRS is in the process of reversing, or taking back these payments.  DOR was encouraged to hold economic impact payments on cases where the payment was made from a joint tax return to give more time for the IRS to take back the payments that are owed to injured spouses.  December 31^st is the latest that these payments will be held, but DOR is hopeful that this issue will be resolved sooner and that the payments can be released before December.      

Last updated:	March 10, 2021