1. ​​​​ Why did the Department of Revenue (DOR) take my refund?
   
   
2. How is my refund applied?
   
   
3. This is not my debt. How do I make sure that my refund is not applied to it?
   
   
4. Who do I contact if I disagree with the debt?
   
   
5. Is my federal tax refund subject to refund interception?
   
   
6. What other payments may be intercepted?
   
   

1. ​​ Why did the Department of Revenue (DOR) take my refund?

   The DOR is authorized to intercept any state tax refund and refundable credit to pay debts owed to other government agencies.

2. How is my refund applied?

   DOR intercepts refunds to pay debts owed to the following government agencies:

   • DOR
   • Child support debts
   • Court Ordered Restitution debts
   • Debts submitted for collection through the Statewide Debt Collection initiative by state agencies
   • Debts submitted for collection through the Statewide Debt Collection initiative by local governments 
   • Debts submitted for refund offset by state agencies
   • Debts submitted for refund offset by local governments
   • IRS and federal government agencies
   • Tribal governments located in Wisconsin
   • Other states
     
     
3. This is not my debt. How do I make sure that my refund is not applied to it?
   • Divorce - Send a copy of your divorce decree if it says that you do not owe DOR tax debt or if the amount owed is allocated between you and your ex-spouse. Enter the "04" code in the Special Conditions box on page 1 of your Wisconsin tax return.
   • Injured Spouse Claim - Enter on your Wisconsin tax return the 05 code in the Special Conditions Box on page 1 and include both your Federal return and W2's.
   • WISCONSIN DEPARTMENT OF REVENUE
     Refund Interception Assistance
     PO Box 8901
     Madison, WI 53708-8901
   • Debt owed to state agency: Refunds from joint returns are automatically allocated based on income by DOR staff if the debt is owed to a state agency or the federal government. Only the debtor's portion of refund will be applied to the debt.
   • Debt owed to local government, tribal government, or other states: DOR does not allocate refunds from joint returns when the debt is owed to a local government, tribal government, or another state. To file an injured spouse claim. You must also provide a copy of your marriage license and proof from the agency as to when the debt was incurred.
     
     
4. Who do I contact if I disagree with the debt?

   If your refund was applied to your state tax debt or a debt referred by a state agency or local government through the Statewide Debt Collection initiative, call DOR at (608) 266-7879.

   If your refund was applied to your Internal Revenue Service (IRS) debt, call the IRS at (800) 829-7650.

   If you received a notice that your refund was applied to a debt owed to a local government, another state, or a federal agency call the number listed on your notice.

5. Is my federal tax refund subject to refund interception?

   The federal government may reduce your federal income tax refund to pay individual income tax debts owed to the DOR.

6. What other payments may be intercepted?

   Lottery Prize Winnings: Any lottery prize winning greater than $600 may be applied to tax debts owed to DOR or debts owed to state agencies.

   State Issued Vendor Payments: Payments issued by a state agency for goods or services may be applied to debts owed to DOR, debts owed to state agencies, or debts owed to local governments.

   Federal Payments: Payments issued by the federal government, other than benefit or salary payments, may be applied to pay tax debts owed to DOR.

   Unclaimed Property: Claims to Unclaimed Property may be applied to pay tax debts owed to DOR, debts owed to state agencies, or debts owed to local governments.

Applicable Laws and Rules

This document provides statements or interpretations of the following laws and regulations enacted as of November 16, 2023​: secs. 71.91, 71.93, 71.935, 73.03, 565.30 and 766.55, Wis. Stats., 26 U.S. Code §6402, and IRS Rev. Rul. 2004-71.

Laws enacted and in effect after this date, new administrative rules, and court decisions may change the interpretations in this document. Guidance issued prior to this date, that is contrary to the information in this document is superseded by this document, according to sec. 73.16(2)(a), Wis. Stats.

The department welcomes your input on our guidance. Submit comments on this guidance document.

Guidance Document Number: 100038

November 16, 2023​​