This letter is to inform you that any federal refunds or vendor payments to which you may be entitled will be applied to state tax debts. You can avoid the offset of vendor payments by entering into and remaining current with a payment agreement. However, the balance must be paid in full to avoid the offset of your federal income tax refunds. Additionally, the Department of Treasury charges a fee for each payment offset which will be deducted from your check amount. This notice is required even if a payment plan has been established. Click here for additional information about our Liability Offset Program.