Table of Contents
In general, Massachusetts law allows the Massachusetts Department of Revenue (DOR) to apply taxpayers’ overpayments to any outstanding undisputed tax liabilities they may have. Additionally, for purposes of AP 606.1 – 606.7, an overpayment is subject to intercept regardless of whether the taxpayer has requested that DOR issue a refund or credit the overpayment to a subsequent tax period as an estimated payment.
Joint filers may have their entire refund intercepted. If the overpayment being applied to an undisputed liability resulted from the filing of a joint Massachusetts Income Tax return and only one joint filer is legally responsible for the debt, the non?debtor spouse may request that DOR refund a portion of the overpayment by filing Form M-8379. Form M-8379 (Nondebtor Spouse Claim and Allocation for Refund Due) may be filed only if the non?debtor spouse would be due a refund based on separate filing status, and the income, withholding and estimated tax payments relate to the non?debtor spouse.
Please note that a $10 fee will be deducted from a taxpayer’s state tax refund to cover DOR’S costs of processing this state tax refund intercept. The fee will be deducted from the refund prior to the intercept.
606.2: Refund Intercepts for Child Support Enforcement Division
If DOR’s Child Support Enforcement (CSE) Division certifies that a taxpayer owes past due child support, DOR will intercept the taxpayer’s refund and apply that amount to the child support debt.
If the taxpayer wishes to contest the validity and/or the amount of the debt, he or she may obtain from and file with CSE a written Request for Review of the child support account. The taxpayer must submit documentation either that proves he or she does not owe past due child support or that proves he or she owes less past due child support than was intercepted. This documentation often includes cancelled checks or court orders. CSE reviews these documents and informs the taxpayer of the results.
Joint filers cannot avoid having their entire refund intercepted, up to the amount of past due child support. To file a Request for Review, the non-debtor spouse must submit, along with a completed Request for Review form, a signed copy of the joint state income tax return, the W-2 forms for both spouses and any other information substantiating the share of the payday loans for poor credit Delta refund attributable to his or her income. Filing a Form M-8379 is not sufficient to contest the intercept by CSE of a joint tax refund; the non-debtor spouse must file a Request for Review with CSE.
CSE must receive the Request for Review within 30 days of the date of mailing of the Notice of Intercept. Request for Review forms are enclosed with the Notice of Intercept or may be obtained by calling the CSE Division Customer Service Center at 1-800-332-2733 toll?free (617-660-1234 for callers in the Boston area and 1-800-255-5587 for the hearing impaired).
Please note that a $10 fee will be deducted from a taxpayer’s state tax refund to cover DOR’s costs of processing this state tax refund intercept. The fee will be deducted from the refund prior to the intercept.
606.3: Refund Intercepts for Internal Revenue Service
If the Internal Revenue Service (IRS) determines that a taxpayer is delinquent in the payment of federal income taxes, it may, as part of its general levy powers under section 6331 of the Internal Revenue Code, levy the taxpayer’s Massachusetts income tax refund. DOR will intercept the refund and the IRS will apply it in whole or in part against the taxpayer’s federal income tax liability.