turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
Announcements
Close icon
Do you have a TurboTax Online account?

We'll help you get started or pick up where you left off.

may-jor5
New Member

Is this possible

If I got my state taxes, can they hold my federal taxes if I didn't file the previous year 

x
Do you have an Intuit account?

Do you have an Intuit account?

You'll need to sign in or create an account to connect with an expert.

2 Replies

Is this possible

The state and the federal (IRS) are completely separate.  The state will generally not offset your refund for a federal debt, but they can offset for a state debt.

 

The IRS (federal) can hold your 2024 refund if they think you owe for past years.  If you did not file a 2023 return, the IRS can create a substitute return in their system, using any income that they know about, from 1099s or W-2s.  They will not give you credit for deductions or credits that you might claim, because you don't get those unless you claim it in writing by filing a return.  If the substitute return shows you owe taxes, they can hold your refunds until that is paid.  The way to solve that is to file a 2023 return to demonstrate the proper amount of tax you owe or refund you are due.  If you end up with a credit balance, they will refund it to you. 

Vanessa A
Employee Tax Expert

Is this possible

Are you asking if your state can be held because of your federal?

 

Yes, if you owe federal taxes, they can levy your state refund. 

 

Yes.  If you had income in the previous year and had a tax liability, even if you did not file a return, the IRS or state can hold your refund to pay your back due taxes. This can happen if an employer sent a W-2 or someone else sent a 1099 to them and they would have sent you a letter of correction. 

 

 They will not issue a refund if you owe past due taxes.  

 

 

 

 

 

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
message box icon

Get more help

Ask questions and learn more about your taxes and finances.

Post your Question