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Anonymous asked in Business & FinanceTaxesUnited States · 1 year ago

Is there a statue of limitation on collection of federal debt?

I owe money to the SSA from an over-payment I was given many years ago. When I filed my 2015, they took my refund. I did not file any more taxes until now (for 2018 taxes). I just checked on the IRS website and it said my whole refund was being deposited in my bank.

Is there a limit to how long SSA can garnish your taxes?

Not sure if it matters, but I live in MI.

6 Answers

  • 1 year ago

    You didn't GET the refund yet did you?

    The IRS doesn't actually issue refunds. They release the refund to the Treasury Department. AFTER that, the Treasury Offset Program, intercepts any amounts owed to other parts of the government that have filed with the program. The IRS doesn't KNOW such offsets are there.

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  • Judith
    Lv 7
    1 year ago

    The state you live in is immaterial because social security is a FEDERAL benefit and FEDERAL rules and laws apply. This applies to anyone receiving social security anywhere in or outside of the US.

    If SS became aware of an overpayment within 4 years they can then collect on the overpayment forever. So if, for example, you were overpaid disability because you worked and didn't report it and they became aware of the fact that your benefits should have been terminated within 4 years of the date the termination was effective, they can collect it when you file for retirement benefits at age 62. In other words, the overpayment isn't going to go away. Also the 4 year limitation doesn't apply if the overpayment was the fault of the beneficiary.

    So if the overpayment happened in 2011 and they became aware of it before 2016 there is no statute of limitations on collecting the overpayment itself.

    They can still garnish your income tax refund if you still owe SS money. It's possible an oversight was made. IRS is supposed to enter a code telling them your refund goes to SS until they've been fully reimbursed.

    Source(s): I was a SS claims rep for 32 yrs.
  • 1 year ago

    It stops when you die.

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  • 1 year ago

    How many years ago exactly? That's important...there have been suspensions of the program based on the years incorrect benefits were paid.

    More than likely, they can still take it.

    • Christina1 year agoReport

      How long ago was the overpayment given? I think it was in 2011. I continued to receive benefits, and they withheld part of my monthly checks to pay for it. Once I was found to be no longer eligible in 2013 (<this is an estimate), I still owed them money to them.

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  • 1 year ago

    They can still take it.

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  • nt
    Lv 6
    1 year ago

    I thought it was never. The sol I mean.

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