All Things Tax

All Things Tax

Like the title says, from the filing process and tax questions to tax policy and reform, you can search and share All Things Tax here. This is the place to find answers to all your general questions that don't fall under the other categories. And just a reminder: questions about software or online filing should be posted in DIY Products.

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Trusted Pioneer
Posts: 7
Registered: ‎02-15-2017
Accepted Solution

Question about offset

[ Edited ]
My wife and i filed a joint return. She is scheduled for an offset. The debt she owes is less than we are expected to get back. I would like to just let the IRS take the money out of our joint return to pay the debt. But i was wondering if after they take what she owes, if they will automatically direct deposit any remaining balance or if i would have to file anything extra to get whats left. I know about the injured spouse forms but those seem to apply more towards someone who wouldnt want any of their tax refund touched to pay their spouses debt, and those forms take an extra 11-14 weeks to process. Id rather just take care of the debt and get whatevers left. I would hate to wait all this time and find out they have put a hold on the entire refund and that i need to file something extra after all.
Tax Pro
Posts: 5,727
Registered: ‎02-23-2016

Re: Question about offset

Hi Jed2121,

 

Welcome to the H&R Block community.

 

If your wife owes less than your refund amount for whatever her debt is then you will get the excess back as a tax refund once the payment on the debt has been processed.  You do not need to file anything extra or special.

 

Louis,

Senior Tax Advisor (Tampa, FL)

Trusted Pioneer
Posts: 7
Registered: ‎02-15-2017

Re: Question about offset

Thank you. I was worried. One more quick question I know there is no way of knowing for sure but if the debt is with the Department of Education for a defaulted school loan, in your experience approximately how long of a delay should i be expecting for the offset process to put on our refund being deposited?
Tax Pro
Posts: 5,727
Registered: ‎02-23-2016

Re: Question about offset

You're quite welcome.

 

Give it anywhere from two days to two weeks.  This is the IRS we're talking about after all, and they will make sure the debt is settled first.  I'm thinking they will issue your refund check to you fairly quickly once the debt is taken care of, but f you haven't seen a deposit of the amount in excess of the debt within a couple of weeks of the debt being paid then you'll want to call the IRS at 1-800-829-1040 to find out what's going on.

 

Use the IRS tracker "Where's My Refund?" to see when your refund is authorized and paid.  It's going to be your most up-to-date source, although while the return is processing you may not see any change on it for up to a couple of weeks.  Normal processing time for a tax return is 21 business days, sometimes less.