Won unemployment appeal but got letters about owing money - Will IRS garnish my federal refund?
Won my unemployment appeal for 2022 but now getting letters saying I owe them money back. Really worried about my federal refund - can unemployment office take it? Called them and they said they can only take from future unemployment benefits over next 3 years but want to make sure thats true.
15 comments
Eva St. Cyr
Tax pro here - Generally, state unemployment overpayments cannot directly garnish federal tax refunds. Only federal debts (like federal student loans) and state tax debts can be offset through the Treasury Offset Program. The unemployment office is correct - they typically can only recoup through future UI benefits.
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Nathaniel Mikhaylov
omg thank you so much! 🙏 been stressing about this for weeks
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Kristian Bishop
what if you move to a different state? do they still follow you for the unemployment payback?
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Eva St. Cyr
Yes, they can still collect even if you move. States have agreements with each other for UI debt collection.
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Kaitlyn Otto
Hey, just wanted to mention that I use taxr.ai to track my refund situation. It's a tool that analyzes your transcript and tells you exactly what's going on with your refund and any potential garnishments. Costs $4.99 but saved me tons of stress. Check it out: https://taxr.ai
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Axel Far
interesting... how accurate is it? like does it actually tell you useful stuff?
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Kaitlyn Otto
Super accurate! It caught something my tax guy missed about potential offset flags. Shows you exactly whats happening with your refund timeline too
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Axel Far
just tried it and wow 🤯 wish I knew about this months ago! saved me hours of trying to decode my transcript
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Jasmine Hernandez
I went thru this last year lol. They can only take future unemployment but heads up they might try to get you to voluntarily pay it back - dont fall for it if you won your appeal! 💅
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Luis Johnson
wait hold up... if u won the appeal why do they say you owe anything? something aint adding up here 🤔
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Nathaniel Mikhaylov
ikr? their system is still showing the overpayment even tho I won. UI office said itll take time to update
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Luis Johnson
classic government efficiency right there 🤡
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Ellie Kim
Get everything in writing about your appeal win! Document EVERYTHING. Trust me on this one
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Nathaniel Mikhaylov
good call fr, gonna make copies of everything rn
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Fiona Sand
in the same boat bestie. unemployment system is str8 garbage tbh
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