Economic Stimulus Payments Intended to Spur Economy Intercepted for Child Support Arrearages
About $170 billion in economic stimulus payments were earmarked for taxpayers to promote consumer spending and stimulate the weak economy. That was the plan.
But tax refunds and the like may be intercepted before they reach the taxpayer to pay off support obligations of the taxpayer.
So far, nationwide, nearly $1 billion in economic stimulus payments have been intercepted for back child support, back taxes and repayment of student loans in default.
In West Virginia, nearly $3 million in back child support was collected through interception – but $761 million is owed.
Of course, intercepted monies may still promote consumer spending and stimulate the economy. Only the spending won’t be by the originally intended taxpayer.
Read more in this Charleston [WV] Daily Mail article: State targeting economic stimulus payments for those who owe child support.
