State debt collection efforts can conflict with state anti-poverty programs. This issue brief discusses how states that seize income tax refunds to collect debts owed to the state may also be seizing safety-net payments such as state Earned Income Tax Credit (EITC) or Child Tax Credit (CTC) funds. States should follow California’s example to protect state EITC and CTC benefits from seizure, protecting critical social safety net income supplements for children and families who rely on these benefits to meet basic needs.
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