What's a tax refund offset?
A tax refund offset occurs when your IRS or state tax refund is reduced or withheld to pay off delinquent debt, such as past-due child support, outstanding federal agency nontax debt, unpaid state income tax, or other government debt.
The Treasury Department's Bureau of the Fiscal Service (BFS) runs the Treasury Offset Program (TOP). This program collects late debts owed to federal and state agencies. Federal agencies are required to notify TOP once debts are more than 120 days past due. Before any federal or state payment is sent, BFS checks their database to see if the recipient has a late debt. If a match is found, part or all of the payment will be held to cover the debt.
If your refund is offset, BFS will send you a notice showing the original refund amount, the offset amount, the agency who's receiving the payment, and the agency’s contact information. Any remaining refund will be sent as normal.
Note: As of January 2026, the US Department of Education has paused tax refund offsets for defaulted federal student loans. This relief is expected to last until July 1, 2026.
For more info about refund offsets, including contact info and the appeals process, see IRS Tax Topic 203.
Can I check my offset amount online?
It depends on the type of offset. If your refund was offset to pay a federal tax debt, you can use the IRS Online Account tool to view your balance, payment history, and whether funds were applied to tax debt.
For all other offset types, BFS will mail you a notice if an offset occurs. You can also contact the TOP call center at 800-304-3107, Monday through Friday, 7:30 AM to 5 PM CT.
How do I stop the offset of my tax refund?
You may be able to stop or reduce the tax refund offset under certain circumstances if you act quickly after receiving your offset notice. Your fastest option to stop the offset is to pay the debt in full. However, you may also have these options:
If you disagree with the debt amount, contact the creditor and work out a resolution as soon as possible.
If you filed a joint tax return and only your spouse owns the debt, you can file Form 8379 (Injured Spouse Allocation) to request your share of the refund.
If you’re experiencing economic hardship, you can contact the IRS or Taxpayer Advocacy Service to request an Offset Bypass Refund for federal tax debt only. If approved, the IRS will issue a refund up to the amount needed to relieve the hardship.
Can my state refund be offset as well as my federal refund?
Yes. Both federal and state agencies use TOP to collect past-due debts, including federal and state taxes, child support, federal agency nontax debt, and other government debts. If your state refund will be offset, you will receive notification from the state agency.
