Spouses of debtors can avoid stimulus check seizure for child support

Some people who owe child support will not get to reap the benefits of their stimulus checks.

Once they are issued, the checks are seized by the government.

"I just believe it's unfair that I'm not getting the help I needed just because I'm behind on child support," Jeffrey Coker said.

It can even happen to the debtor's spouse.

"Although I love my step daughters, it’s not my bill, so that’s a jagged pill to swallow when it’s going to my husband’s ex-wife,"Lisa Pastori-Brown said.

In order to avoid the garnishment completely, a couple can file tax returns separately, but it might affect the amount of a tax return.

"There are then certain deductions that you don't get to take," said Kim Kenawell-Hoffecker, founding partner of Avantra Family Wealth. "So, by filing a separate return, you could be right then and there changing the outcome of your return."

In addition to a stimulus check, child support payments can also be taken from tax refunds; so, if it is worth filing jointly, a spouse can file IRS Form 8379, an Injured Spouse Allocation form.

Contributions to back child support will only equate to the percentage the debtor pays in household taxes.

"When the injured spouse files for that allocation, then their piece of the tax return is coming back to them," Kenawell-Hoffecker said.

But, the process takes time, and a stimulus check or refund can be delayed.

"And Pennsylvania state, I think they can take up to six months, believe it or not, to process this injured spouse allocation," Kenawell-Hoffecker said.

If an appeal is warranted, a person must call the IRS, but that also takes time and patience.

Families are advised to talk to a financial advisor about the best tradeoffs for the couple, prior to filing taxes and applying for stimulus checks.