why is the ohio attorney general offsetting my ohio tax refund

by Odessa Ritchie 7 min read

Pursuant to R.C. 131.02, 5733.121, and 5747.12, all or part of a person's income tax refund may be offset to collect certified tax debt or other debt owed to the state of Ohio that has been certified as delinquent to the Office of the Ohio Attorney General ("OAG"), together with any fees,

While the Department of Taxation is responsible for offsetting your refund, the debt is actually owed to another agency. You must contact that agency to resolve any discrepancies. If your refund is greater than the total outstanding debt, it will be applied to the debt and you will receive the balance.May 6, 2020

Full Answer

Does the Ohio Department of revenue offset my refund?

Additionally, the Department is required to offset a taxpayer's refund as partial payment of any debt (s) reported by the following agencies: Certain debt collected by the Ohio Attorney General (877) 607-6400 or (800) 282-0515

Who is responsible for offsetting my tax refund?

While the Department of Taxation is responsible for offsetting your refund, the debt is actually owed to another agency. That agency has provided information to the Department indicating that a balance is still due.

What is the Ohio Department of taxation offset program?

The Ohio Department of Taxation is authorized to offset all or a portion of a taxpayer's income tax refund to be applied towards any unpaid tax. Additionally, the Department is required to offset a taxpayer's refund as partial payment of any debt (s) reported by the following agencies: Ohio Department of Job and Family Services

How do I contest an Ohio income tax offset letter?

There are two types of Ohio Income Tax Refund Offset letters. If you receive a “proposed” offset letter, you have the opportunity to contest all or a portion of the proposed offset (s) by submitting the Ohio Non-Liable Spouse worksheet and supporting documentation.

Why was my Ohio state refund Offset?

Income tax refunds may be offset to pay delinquent state or federal taxes, debts, back child/spousal support, and more. The Ohio Department of Taxation (ODT) issues State tax refunds and The Ohio Administrative code 5101:1-1-90 authorizes ODT to conduct the State Tax refund offset program.

Why is my refund being offset?

The amount of my federal payment (e.g., income tax refund) has been reduced ("offset"). Why? If an individual owes money to the federal government because of a delinquent debt, the Treasury Department can offset that individual's federal payment or withhold the entire amount to satisfy the debt.

Can the Ohio attorney general take my federal taxes?

Yes. The State of Ohio retains the right to offset any monies owed to the applicant, including federal and state tax refunds. Will the Attorney General cease garnishment, foreclosure and other collection activities while an offer is pending?

How long does it take to get your refund after offset?

It can take up to 6-8 weeks to get a tax refund reversed after it's been offset for student loan debt. However, a tax refund offset reversal can take up to six months for a jointly filed return.

Can a tax refund offset be reversed?

If your tax refund is offset, you should not call the IRS since they cannot reverse an offset or give you information about the debt. However, if you owe federal tax, you should contact the IRS to make arrangements to pay. The program works.

What does a tax offset mean?

What is a tax offset? A tax offset reduces the tax you pay (known as your tax payable) on your taxable income. Your taxable income is your total income minus any deductions you claim. The LITO and the LMITO can only reduce the tax you pay to $0 (zero).

How do you find out if my refund will be offset?

To find out if your federal tax refund will be offset, you will need to call the Bureau of Fiscal Service directly. Their number is 800-304-3107. You may not have anyone else call for you, nor may you call on anyone else's behalf, this is a criminal offense – don't do it.

Can a tax offset Be Stopped?

You may be able to avoid offset by entering repayment during the 65-day period. Once the 65-day period ends, you still may be able to stop offset by entering into a rehabilitation agreement and making the first five of the nine required payments.

Where did my tax offset go?

The IRS provides a toll-free number, (800) 304-3107, to call for information about tax offsets. You can call this number, go through the automated prompts, and see if you have any offsets pending on your social security number.

What happens if your refund is greater than the total outstanding debt?

If your refund is greater than the total outstanding debt, it will be applied to the debt and you will receive the balance. Otherwise, your entire refund will be applied in partial satisfaction of the debt.

What is offset tax in Ohio?

The Ohio Department of Taxation is authorized to offset all or a portion of a taxpayer's income tax refund to be applied towards any unpaid tax. Additionally, the Department is required to offset a taxpayer's refund as partial payment of any debt (s) reported by the following agencies: Ohio Department of Job and Family Services.

How to contact the Department of Taxation?

Taxpayers with additional questions on this subject may contact the Department of Taxation by email or by calling 1-800-282-1780 (1-800-750-0750 for persons who use text telephones (TTYs) or adaptive telephone equipment). NLS, NLS Worksheet.

What happens if line 3 is zero?

Line 1 plus line 2 of this worksheet. If line 3 is zero, you are not entitled to any portion of the refund.

What is the phone number for the Ohio Attorney General?

Certain debt collected by the Ohio Attorney General (877) 607-6400 or (800) 282-0515

Where to enter non-liable spouse on Ohio 1040?

Enter the non-liable spouse's portion of line 2a of the Ohio IT 1040.

Where is the amount reported on Ohio 1040?

Enter the amount reported on line 13 of the Ohio IT 1040.

What is the Ohio Revised Code?

The Ohio Revised Code requires that anyone with an open vendor’s license in the state of Ohio is required to file timely. If returns are not filed timely, the law allows for the collection of penalties and interest.

Why does the Attorney General request copies of information sent to the Department of Taxation?

The Attorney General requests copies of information sent to the Department of Taxation in order to justify ceasing collection efforts until the Department of Taxation has made a determination.

How long does it take to get a debt resolved in Ohio?

The Ohio Department of Taxation sent you a certified letter advising that the debt would be turned over to the Attorney General if not resolved within 60 days from the date of the letter. You may contact the Department of Taxation and they will advise you who signed for the mail.

When are federal refunds subject to offset?

Your federal and/or state refunds are subject to offset when it is determined a tax debt is owed and has been turned over to the Attorney General for collection.

Does Ohio require electronic filing?

The Ohio Department of Taxation requires all vendors to file electronically. For business owners, this cuts down on paperwork and postage costs. For state government, electronic filing saves processing costs and taxpayer dollars.

Does Ohio have a penalty abatement?

Penalties are set in conjunction with the Ohio Revised Code. A penalty abatement may be requested. However, during the abatement request process, interest does continue to accrue.

What happens if Ohio government garnishes state tax refund?

When the Ohio government garnishes your state tax refund, they will send you a letter explaining why you were subjected to offset, and which government agency was owed money. If the Ohio government is unable to recover everything you owe, it may file a request with the TOP in the hopes of garnishing your federal tax refund too.

Can you garnish your tax refund?

Many people face the threat of tax refund garnishment because of their student debt issues. The government can only garnish your tax refund if you have defaulted on a loan. When you miss a loan payment by more than 30 days, the loan becomes delinquent. If you fail to make a payment after 270 days, the loan goes into default, at which point your tax refund may be garnished.

Can you contest a tax offset?

It is very difficult to contest tax offsets. You may request a hearing to contest the garnishment, but to prevail, you will need to demonstrate that you were not in default on your debt. But in the vast majority of cases, borrowers who are subjected to a tax refund garnishment are in fact in default on their debt.

Does Ohio have a tax offset program?

The Ohio government has a tax offset program similar to the federal government. The Ohio Department of Taxation (ODT) runs a state tax refund offset program, which allows the garnishment of your refund if you have the following types of debt:

What is collection enforcement in Ohio?

Collections Enforcement interprets and enforces the state’s debt collection laws and is committed to provide quality collection services for the State of Ohio and to assist individuals and businesses seeking to resolve their financial obligations to the State by working matters internally or by working with private collection entities. It operates the “ Offer in Compromise ” program which allows debtors to settle with the state. Collections Enforcement offers taxpayers, who have had their income tax refund taken to pay off a state debt, the ability to make a written “ Request For Administrative Review of Income Tax Refund Offset”.

Can you pay Ohio debt online?

The Attorney General's office has created a quick, safe, and reliable service that allows citizens to pay outstanding debts to the State of Ohio online. Under Ohio law, state agencies turn over their outstanding accounts to the Attorney General's office for collection. You can use this site to safely and confidentially pay outstanding obligations that have been certified to the Attorney General's office. It is our aim to make payment as convenient as possible.

Who collects debt in Ohio?

The Collections Enforcement Section is responsible for collecting outstanding debt owed to the State of Ohio for state agencies, institutions, boards, commissions, public university and hospitals, and local government entities.

Is there a walk in tax office in Cincinnati?

Taxpayer walk-in services are currently NOT available in the Cincinnati regional office. Once the office moves/construction is complete in our Cincinnati regional office we will resume those services and update the website.

Can the IRS go after a state tax refund?

Yes. If you have a state tax liability, the state can go after your state or federal refund (s) to pay the taxes - offset the state tax liability. Similarly, if you have a federal tax liability, the IRS can go after a federal or state tax refund to offset your federal back taxes.

Can the state of Ohio seize your tax refund?

Agree with Ms. Zelli. The State of Ohio can seize your federal tax refund, but more than likely, they will just seize your Ohio tax refund. Best of luck to you.