they applied that automatically to my debt. is that their policy or a rule. I was waiting for that money but they did not send me any money. why. please dont answer if you dont know the real answer…thanks
Well I filed tax return two weeks ago and I got a notice from IRS today claiming that all the money will go directly to pay off my “debt” listed by Texas state attorney generals office.However,the fact is that I pay my child support on time and never be late. I called them several times and the guy who answered the call said that there is a gap in the system and he has no idea when and how I can get my money back.
I dont want my tax return go to my ex’s pocket,they take m
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IRS treats Debt cancellation as income, and the finance company can take deduction for this:
Generally, if a debt you owe is canceled or forgiven, other than as a gift or bequest, you must include the canceled amount in your income. A debt includes any indebtedness for which you are liable or which attaches to property you hold.
If the debt is a nonbusiness debt, report the canceled amount on Form 1040, line 21.