dc-95-04

Dear Colleague DC-95-04


Tax Offset Eleventh Collection Report

DC95-04

January 17, 1995

TO ALL STATE IV-D DIRECTORS

Re:  Tax Offset Eleventh Collection Report

Dear Colleague:

We are very pleased to forward to you the eleventh and final 
collection report for the 1994 Federal Tax Refund Offset Program.
Enclosed is the collection report representing the tax refund offsets 
for the month of December 1994 minus the service fee and any 
adjustments made during this period for the 1989 through 1994 
processing years.  Enclosed where appropriate is a copy of the 
December 1994 Collection/Adjustment/Address Report and the 
corresponding name change report.

The net collection total for December 1994 for 8,784 offsets is 
$4,803,210 as compared to $3,720,516 for 7,122 offsets for 
processing year 1993.  The net year-to-date total for processing year 
1994 for 1,016,815 offsets is $702,765,323 as compared to 
$621,119,526 for 946,378 offsets for processing year 1993.

We would like to inform you that several significant milestones were 
reached in processing year 1994.  The first being net collections for 
the tax refund offset program exceeded the $700 million mark for the 
first time ever, surpassing the previous high in processing year 1992 
of nearly $645 million.  Also, the number of offsets exceeded the one 
million mark, surpassing the previous high in processing year 1992 of 
991,000.

We would also like to inform you that the IRS fee amount for 
processing year 1995 has been increased from the current $7.28 to 
$7.83 per offset.  Please inform the appropriate program personnel of 
this change.

The electronic funds transfer (EFT) for December is scheduled to be 
accomplished on January 19, 1995.  If you have any questions 
pertaining to the tax refund offset program, please feel free to 
contact the Special Collections Unit at (202) 401-9389.

                                 Sincerely,


                                 David Gray Ross  
                                 Deputy Director
                                 Office of Child Support
                                    Enforcement

Enclosures