Can a joint tax return be garnished?

If you and your spouse are filing jointly, your shared refund can be garnished to offset their delinquent debt. You’ll need to file IRS Form 8379, Injured Spouse Allocation Form, to get back your share of the refund.

Can debt collectors take your federal tax return?

If you’re expecting a tax refund but have concerns about creditors garnishing it, you may be worrying too much. Federal law allows only state and federal government agencies (not individual or private creditors) to take your refund as payment toward a debt.

What happens to your tax return if your spouse owes student loans?

Any federal tax refunds that are payable to a couple that is filing their taxes jointly, is also subject to a tax offset regardless if only one person owes that debt. This means if your loans are in default, your spouses tax refund will also be withheld.

Can a married couple lose their tax refund?

The IRS and many state tax agencies have a habit of taking tax refunds to satisfy other debts, and if your filing status is married-filing joint, your well-earned income tax refund may be in jeopardy if you married someone who: 1. Owes back child support, 2. Is delinquent on student loan payments or other federal agency debts, 3.

What to do if your tax refund is subject to offset?

If you are an injured spouse and want to receive your portion of the refund subject to offset, file IRS Form 8379. If you know your joint refund is subject to offset before you file, you can submit the form with your return. If you find out about the offset after you file, send the form in separately.

What are the States where I can offset my spouses taxes?

These states are Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington, and Wisconsin. If you’re filing a joint return in one of these states, there are exceptions that allow half – or more – of your shared income tax refund to be offset to your spouse’s debt.