Can I Get My Tax Refund Back After An Offset?

Here is information for the question, “Can I get my tax refund back after an offset?“ Taxpayers who lose part or all of their tax return in compensation from the Internal Revenue Service can recover their compensation funds. When a taxpayer has a pending state or federal debt the Internal Revenue Service can withhold their tax return to cover the outstanding obligation.

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The taxpayer’s ability to recover his tax return depends on the filing status uses to file his return.  Or why his tax refund is subject to compensation. In other cases, taxpayers who receive compensation cannot recover the portion of their withheld tax return.

How to get a refund after compensation?

Option 1

Complete an injured spouse’s form or federal Form 8379 to recover your share of compensation if this applies to you.  If you filed a joint return with a spouse who has federal or state obligations. Married people whose spouse is subject to compensation from the Internal Revenue Service can also receive compensation if the couple files their taxes with the “filing” status.

If the tax return of the obligated spouse does not cover all of your debt, the IRS will offset the second part of a joint tax return to cover the obligation. However, the non-mandatory spouse can recover their share of compensation by filing Form 8379. The Internal Revenue Service says it can take up to eight weeks to obtain the compensation allowance. Injured spouses can find Form 8379 on the IRS website.

Option 2

Submit a statement of financial hardship to your loan guarantee agency or the Department of Education if you have compensation from the IRS for a student loan default. Taxpayers who are compensated for violating student loans can recover part of the funds withheld or stop the withholding action entirely, if they can demonstrate financial difficulties. The loan guarantee agency or the Department of Education compares an applicant’s costs with comparable family costs in size and income to determine eligibility. The financial statement form is available on the Department of Education website.

Option 3

File a compensation appeal to recover all or part of your tax refund compensation. Only people who are compensated for obligations like faulty alimony or back taxes can appeal a tax refund compensation after the IRS has intercepted their tax return. However, the taxpayer can only appeal the compensation in two ways: proving that he is not the person with the debt or that the amount owed is incorrect. Otherwise, taxpayers who are compensated for reasons other than student loans cannot default or are injured spouses.

Before you go, I hope this article can I get my tax refund back after an offset is helpful for you.