Wednesday, June 04, 2008

Gotta love it!

State seizing federal stimulus checks for back taxes


The Atlanta Journal-Constitution
Published on: 06/04/08

Thousands of Georgians who owe back state income taxes are seeing their federal stimulus checks go back to the government.

So far, at least part of 16,000 stimulus payments to Georgians have been intercepted by the state because the recipients owe back state taxes.

In all, the state has collected $4.66 million worth of federal stimulus money from Georgians owing back taxes through the end of May. That's second only to the state of New York, which has collected $4.71 million in back taxes from the stimulus payouts, according to the Georgia Department of Revenue.

"I knew we'd get something, but I've been surprised by the number, and it takes a lot to surprise me," said Revenue Commissioner Bart Graham. "16,000 people. That's a college basketball arena full of people."

The state hooked into the federal "offset" system almost five years ago that allows it to get all or part of federal tax refunds if a Georgians owes back state income taxes. Graham said the state has collected $122.2 million in back taxes from the program since then.

"We could have never gotten enough people to chase that down by ourselves," he said. "Even if we had, it would have taken years."

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