Social Security Halts Controversial Practice Used to Collect Old Debts

The Wall Street Journal (online registration required): The Social Security Administration said it is halting its controversial practice of collecting old debts by withholding tax refunds, including from relatives of beneficiaries whose families received overpayments.

Congress opened the door to the practice a few years back, by lifting the statute of limitations on debts to the government that are 10 or more years old. Officials then set up a collection system for the old payments through the Treasury and Internal Revenue Service.

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