Social Security Administration Halts Collection of Old Debts

Tuesday, 15 Apr 2014 01:24 PM

By Courtney Coren

Share:
  Comment  |
   Contact Us  |
  Print  
|  A   A  
  Copy Shortlink
The Social Security Administration will no longer pursue taxpayer debts that are more than 10 years old.

The federal agency made the announcement Monday after The Washington Post published a story last week saying that the Treasury Department was withholding tax refunds from taxpayers over debts owed by their parents because of Social Security benefits collected on their behalf when they were children.

"I have directed an immediate halt to further referrals under the Treasury Offset Program to recover debts owed to the agency that are 10 years old and older, pending a thorough review of our responsibility and discretion under the current law to refer," Carolyn Colvin, acting Social Security Administration commissioner, said in a statement on the agency's website.

"If any Social Security or Supplemental Security Income beneficiary believes they have been incorrectly assessed with an overpayment under this program, I encourage them to request an explanation or seek options to resolve the overpayment," she added.

The statute of limitations on the "collection of debt by administrative offset" was lifted in a revision to the 2008 Farm Bill.

That change gave authorities the ability to withhold tax refund money from over 400,000 individuals who had family members who owed debts to the Social Security Administration.

The news sparked a public outcry, a lawsuit and a response by lawmakers.

"Payment beneficiaries have to be accountable for overpayments from the government, but the government has to be reasonable and use common sense," Republican Sen. Charles Grassley of Iowa said in a statement, according to The New York Times.

Related Stories:

© 2014 Newsmax. All rights reserved.

Share:
  Comment  |
   Contact Us  |
  Print  
  Copy Shortlink
Around the Web
Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Country
Zip Code:
Privacy: We never share your email.
 
Hot Topics
Follow Newsmax
Like us
on Facebook
Follow us
on Twitter
Add us
on Google Plus
Around the Web
Top Stories
You May Also Like

White House: No Social Security Benefits for Suspected Nazis

Monday, 20 Oct 2014 18:12 PM

The White House says suspected Nazi war criminals and former SS guards should not be receiving millions of dollars in So . . .

US Ordering 34 Million Green Cards for Illegal Plan

Sunday, 19 Oct 2014 23:36 PM

With some lawmakers predicting a sweeping executive order on immigration from President Barack Obama after the Nov. 4 el . . .

Rabbi Avi Weiss Leads Vigil at Met to Protest Opera

Monday, 20 Oct 2014 17:11 PM

A globally prominent rabbi led Jewish teenagers in a prayer vigil Monday outside the Metropolitan Opera to protest an op . . .

Most Commented

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

 
NEWSMAX.COM
America's News Page
©  Newsmax Media, Inc.
All Rights Reserved