Will the IRS take my state refund to pay back taxes I owe?
Maybe. Under the State Income Tax Levy Program, the IRS can levy (take) your state tax refund to offset back taxes, addressing any tax debt you might owe.
If this happens, the state will give you notice of the levy. The IRS will also give a notice, after the levy, offering you the opportunity to appeal the debt offset.
The IRS won’t issue a notice if you already received a notice of intent to levy that advised you of your right to a hearing.
Learn more about estimated tax payments and backup withholding from the tax experts at H&R Block.
Do you owe back child support? It could affect your tax refund. Learn more about taxes and back child support from the tax experts at H&R Block..
If you’re a small business veteran, you know that in addition to filing an annual tax return, you will likely make quarterly estimated tax payments.
Learn more about debt that can offset your tax refund from the tax experts at H&R Block.