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If you owe restitution dictated by a court, can the IRS defer your refund to the court instead of sending it to you?
Hello and thank you for using JustAnswer. If the restitution is for a State debit you owe, the State can have the Federal government offset your Federal tax return. One way to avoid an offset of your Federal income tax refund is to have your employer change your W4 to have less Federal income tax withheld from your wages.
I don't understand what a "state debit" is - the restitution was for a theft conviction.
The court might have send a offset order to have your Federal tax refund sent to the State court for payment to that company for restitution. You can call the IRS debt indicator for individual at(###) ###-####
The IRS web site for refund is only for tax year 2007. You wrote that you received a refund for 2007. Did you received a Economic Stimulus Payment?
I believe only your State tax refund will be offset to pay the restitution. Your State did not request the Federal to offset your Federal income tax refund.