dcl9353.htm

Ninth Collection Report for 1993 FTRO Program

DC-9353

Oct. 29, 1993

TO ALL STATE IV-D DIRECTORS

RE: Ninth Collection Report For 1993 FTRO Program

Dear Colleague:

We are pleased to forward to you the ninth collection report for the 1993 Federal Tax Refund Offset Program. Enclosed is the collection report representing the tax refund offsets for the month of October 1993 minus the service fee and any adjustments made during this period for the 1988 through 1993 processing years. The electronic funds transfer should be accomplished on November 5, 1993. The net collection total for October for 6,825 offsets is $3,558,159. The year-to-date total for processing year 1993 is $612,998,077 for 932,089 offsets as compared to $636,252,487 for 975,179 offsets for processing year 1992. Enclosed where appropriate is a copy of the October 1993 Collection/Adjustment/ Address Report and the corresponding name change report.

We would also like to inform you that the IRS is projecting an

increase in their service fee from $5.19 per offset to $8.35 per offset for processing year 1994 effective on the first collection report in February 1994. The increase in the fee can be attributed to an increase in the IRS cost to administer the program. To be more specific, the IRS apparently has not been charging the States to process Form 8379, Injured Spouse Claim, and therefore will be passing this service center expense on to the States. There are also other service center costs and revenue agent expenses involved in the increase. We are attempting to negotiate a lower fee amount with the IRS but if we are unsuccessful you should plan on the IRS increase to $8.35. Please inform the appropriate program people of this change.

If you have any questions pertaining to the tax offset program or the proposed IRS fee increase please feel free to contact the Special Collections Unit at (202) 401-9389.

Sincerely,

Robert C. Harris

Acting Deputy Director

Office of Child Support

Enforcement

Enclosures