The IRS will not seize your tax refund if you only owe a few dollars in child support. Instead, your case must meet one of these requirements to qualify for the Treasury Offset Program. If the recipient of your child support receives state benefits, you must owe at least $150 in child support to qualify.
Child support is not entered on a tax return, either given or received.
Eighty percent of all child support payments are made through wage withholding. When the Office of the Attorney General receives your employment information, we send a notification to your employer so that your support payments can be automatically held out of your paycheck.
Typically, the state child support office that submitted the noncustodial parent's case for tax refund offset receives the funds within two to three weeks. It is important to stay informed with your local child support caseworker.
Child support payments are not subject to tax. Child support payments are not taxable to the recipient (and not deductible by the payer). When you calculate your gross income to see whether you're required to file a tax return, don't include child support payments received.
Obtain the form: You can typically obtain a proof of child support form from your local child support agency or court office. You may also find it online on your state or jurisdiction's official website.
While the IRS's authority to offset to a federal tax liability is discretionary, the IRS must offset refunds when the taxpayer owes any other non-tax federal debt or state liability including past due child support obligations.
Are child support payments tax-deductible or taxed in Texas? The IRS states that, "Child support payments are neither deductible by the payer nor taxable to the recipient. When you calculate your gross income to see if you're required to file a tax return, don't include child support payments received."
Child Support - No. Child support payments are not subject to tax. Child support payments are not taxable to the recipient (and not deductible by the payer). When you calculate your gross income to see whether you're required to file a tax return, don't include child support payments received.