Owing the IRS from previous year

I previously owed the IRS for the tax year of 2015, and have agreed to make payments. Will the amount owed to the IRS be deducted before I receive my return, or am I responsible for paying once I receive return?

After you file

If you have an outstanding tax debt owed to the IRS, your refund will be seized up to the amount owed for back taxes.  You do not have to put anything about it on your return.  The iRS knows.

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After you file

Does my tax refund go directly to what I owe from 2015 ? 

VictoriaD75
Expert Alumni

After you file

Yes. Any refund received in subsequent tax years will be applied to any taxes owed from previous years. This will occur even if you are in an installment agreement, or payment plan, with the IRS. They are aware of the balance owed and will automatically apply any refund to the amount due.

 

Refund Inquiries for Balance Due

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