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What is the Federal Income Tax Refund Offset (Intercept)?
The Federal Tax Refund Offset collects payments for delinquent child support from the Internal Revenue Service (IRS). These payments are the Federal Tax Refund which is due to the Non Custodial Parent (NCP).
IMPORTANT NOTE: Cases that receive a collection from the interception of the non-custodial parent's tax refund will be subject to a $25.00 fee per collection for federal offsets . The non-custodial parent will, however receive credit for the full collection. There is no fee for state offsets.
What cases are eligible for submission to the Federal Income Tax Refund Offset Program (Intercept)?
If the NCP is at least $150.00 in arrears (delinquent) in a case where the custodial parent receives Temporary Assistance for Needy Families (TANF), or at least $500.00 in arrears (delinquent) in a Non-TANF case, his/her Federal Income Tax Refund is subject to intercept to pay child support. If the NCP has multiple cases, the total is a combination of arrearages for all cases. For example, if the NCP owes $400.00 arrears on a case and $150.00 arrears on another case, the total arrearage would be $550.00 and is eligible for the Federal offset process on a Non-TANF case and/or a TANF case, whichever is applicable.
Tax submission is only completed for Title IV-D cases, which is when a case is established, maintained and/or enforced by the local County Prosecutor’s office.
What is a Title IV-D Case?
Custodial parents receiving TANF (Temporary Assistance for Needy Families) or custodial parents, who along with a child(ren), are receiving Medicaid services will be required to pursue child support services (the Title IV-D Program) through the local County Prosecutor's office.
Parents who do not receive TANF or Medicaid are also eligible to receive these services and can apply for IV-D program services if they need assistance with child support or paternity establishment.
How is an NCP notified if his case has been submitted for Federal Income Tax Refund Offset?
Pre-offset notices are issued to the NCP when the case becomes eligible for the Federal Tax Offset Program advising the case(s) has qualified for submission. The pre-offset notices are issued through out the year as case(s) becomes eligible for the Tax Offset program. These pre offset notices are issued to the last known address available to our office. Eligible NCP’s will receive only one Pre-offset notice although they may be submitted multiple years as long as there is a qualified arrearage balance.
How is an NCP notified that his taxes are intercepted for child support arrears?
The U.S. Department of Treasury’s Financial Management Service sends a written notice to the obligor informing them of the offset amount, the payment type that was offset, the date the offset occurred and which local County Prosecutor’s office is responsible for the submission. These notices are sent to the address which is used on the Federal Tax Return.
What if I do not agree with the amount of the arrears and/or the Federal Intercept?
NCPs can contest the determination of the amount of the past-due support owed and may request an administrative review. To request an administrative review, you must contact the local County Prosecutor’s office where your case is located. The contact information is provided on the Pre-Offset Notice and the Offset Notice.
What happens if I file a joint Federal return with my current spouse?
If a NCP files a joint return and certain conditions are met, the NCP’s current spouse may be eligible to receive their portion of the refund by completing IRS Form 8379- Injured Spouse Claim and Allocation. The form has eligibility criteria and filing instructions on the first page. These forms are to be mailed directly to the IRS office. Do not submit these to the Indiana Child Support Bureau or the local County Prosecutor’s office, but send directly to the Internal Revenue Service. The Injured Spouse Allocation – Form 8379 can be located at the Internal Revenue Website. You can copy and paste this address to go directly to the form: http://www.irs.gov/pub/irs-pdf/f8379.pdf. This form may also be obtained from a location which provides Federal Tax forms, such as a local library branch, U.S. Post Office or a tax preparer’s office.
What is the State Income Tax Refund Offset (Intercept)?
The State Tax Refund Offset collects payments of delinquent child support from Indiana State Department of Revenue. These payments are the refunds due to eligible Non Custodial Parents (NCPs).
What cases are eligible for submission to the State Income Tax Refund Offset Program (Intercept)?
NCPs who have qualified child support arrearages of $150.00 or more are eligible to have State tax refund monies intercepted to pay their child support. If the NCP has multiple cases, the total is a combination of arrearages for all cases. For example, if the NCP owes $100.00 arrears on one case and owes $60.00 arrears on another case, the total arrearage for the NCP is $160.00 which would be eligible. So, both cases would be submitted for State Tax Refund Offset.
What if I do not agree with the amount of the arrears and/or the State Intercept?
NCPs will receive a State Tax Notice indicating that the State tax refund is subject to interception due to an arrearage owed on child support obligation. Within this Notice it is indicated how the NCP may request an Administrative Hearing contesting the interception of the state tax refund. The request for an administrative hearing must be received by the Indiana Centralized Enforcement Unit (CEU) within thirty (30) days from the date on the Notice. A copy of the Notice must be returned with the written request and the request must also be signed.
What happens if I file a joint State return with my current spouse?
If a NCP files a joint return and certain conditions are met, the non-custodial parent’s spouse may be eligible to receive their portion of the refund by sending a written request to the Indiana Centralized Enforcement Unit, 402 W Washington St., MS 11, Indianapolis, IN 46204. Include a copy of the Notice, which was sent to the NCP, with the request. The current spouse (injured spouse) should include their Name, SSN and current address in the request in addition to the name of the NCP. The request should be signed by the current spouse. Do Not include this request with a request for an appeal hearing. All appeal requests must be made separately from any spousal request.
My tax refund has been intercepted; why has the money not been sent to the custodial parent?
If an individual return was filed, not a joint return, the money will not be sent to the custodial parent, for Non TANF arrears, for a minimum of ninety (90) days. If a joint return was filed, any intercepted refunds may be held up to six (6) months.
How does this affect me if I have been ordered to pay child support?
If you have been ordered to pay child support and it is not being withheld from your paycheck by an employer, you will need to begin to mail your child support personal check, money order or cashier’s check to the address below. Do not send cash.
The INSCCU will accept the following types of payments:
Personal checks
Money orders
Cashier’s checks
The INSCCU will not accept cash payments. Cash payments will continue to be accepted on a walk-in basis at your local county Clerk’s Office.
When sending a payment to the INSCCU, please include the following information:
▪ your name
▪ your address
▪ your phone number
▪ your ISETS case number
▪ last 4 digits of your social security number
▪ your court cause number
▪ payment amount
▪ the custodial party’s name
A downloadable form may be printed and sent in with your payments. The downloadable Child Support Payment Remittance Form may be found here or at http://www.insccu.com/.
If you do not know your ISETS case number and/or your court cause number, you may contact the Kidsline at 317-233-5437 (local) or 800-840-8757 or 317-241-9636 (TTY). Customer service representatives are available Monday through Friday 7:00 a.m. to 6:00 p.m. and Saturday from 7:00 a.m. to 12:00 p.m.
If you pay child support to the Clerk by automatic withdrawals from your bank account, by credit card or at a local bank that accepts payments for the Clerk’s Office, you should contact your local Clerk’s office to find out whether these payment options will continue to be available.
If a paper check is generated through the use of an online banking service, you will need to make sure the check is sent to the INSCCU address above.
Yes. If you have more than one court order, you may send one check, even if the court orders are from different Indiana counties. However, when sending your payment, you must include the ISETS case number, court cause number and dollar amount for each of the cases to which the payment is to be applied.
Yes. If you have child support payment-related questions, you may call the INSCCU customer service call center and Interactive Voice Response System (IVR) Kidsline at 317-233-5437 (local) or 800-840-8757 or 317-241-9636 (tty). Customer service representatives are available Monday through Friday 7:00 a.m. to 6:00 p.m. and Saturday from 7:00 a.m. to 12:00 p.m. Automated phone service is also available 24 hours per day, seven days per week. Assistance is available in 170 different languages upon request.
You will not need a PIN number. However, you will need the case number and your Social Security Number to make payment. You will need to enter the 10 digit case number by using leading zeros (e.g., 0000221133). If you do not know your case number, call the Kidsline at (800) 840-8757 or local (317) 233-5437.
The transaction will be listed as ‘IN CHILD SUPPORT’. If you have any questions regarding the transaction, call the phone number listed on the credit card statement, which belongs to the Kidsline.
There is a processing fee associated with making a phone or an online payment. The fee for making a payment is 2.25% of the total payment made. This fee is non-refundable and is not applied to your case.
No. Payments posted to this website or made by phone apply directly to your child support obligations that are due (current support and arrears). Any fee payments cannot be processed through the online payment website or by phone.
Contact the Kidsline at (800) 840-8757 or local (317) 233-5437 regarding any questions on your credit card payment. They will refer your call to someone who can pull up the transactions in order to address your issue.
More than likely, your payment will be treated as a cash advance on your credit card statement. Any other fees charged under the terms of your cardholder arrangement are between you and your card issuer. To learn more about any fees charged by your credit card company for making child support payments on line or by phone, contact your credit card company directly.
No. If you make a mistake with the payment, you can contact the Kidsline at (800) 840-8757 or local (317) 233-5437 regarding any questions on your credit card payment. Please review each payment carefully before you submit it. Once transactions have been submitted, they cannot be cancelled or changed.
Yes. Your credit card is charged immediately. Once the transaction has settled with your credit card, the funds are sent to the Department of Child Services. Payments made prior to 3:00p.m. EST will be reflected on your child support case on the next business day.