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Comptroller's Office to Assist Federal Retirees Who Owe Debt

ANNAPOLIS, Md. - The Maryland Comptroller’s Office will offer assistance to Maryland federal retirees who owe Maryland taxes and were subject to an offset of their federal pension by the U.S. Department of Treasury.

On Feb. 1, the Treasury Department mailed notices to approximately 7,500 federal retirees in Maryland owing Maryland taxes as part of its Treasury Offset Program. The notice states that the Department of Treasury could withhold up to 25 percent from a retiree’s pension until the debt is resolved.

The Maryland Comptroller’s Office’s Compliance Division will work with federal retirees and the Department of Treasury on a case by case basis, but the Comptroller’s Office will not offset federal retirees’ pensions for state tax obligations.

Federal retirees in Maryland with a state tax obligation are encouraged to make a payment arrangement with the Comptroller Office’s Compliance Division’s Collections Section by calling 410-974-2432.

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