[Code of Federal Regulations]
[Title 17, Volume 2]
[Revised as of April 1, 2001]
From the U.S. Government Printing Office via GPO Access
[CITE: 17CFR204.55]

[Page 215]
 
              TITLE 17--COMMODITY AND SECURITIES EXCHANGES
 
             CHAPTER II--SECURITIES AND EXCHANGE COMMISSION
 
PART 204--RULES RELATING TO DEBT COLLECTION--Table of Contents
 
                      Subpart C--Tax Refund Offset
 
Sec. 204.55  Change in notification to Internal Revenue Service.

    (a) Except as noted in paragraph (b) of this section, after the 
Commission sends the IRS notification of an individual's liability for a 
debt, the Commission will promptly notify the IRS of any change in the 
notification, if the Commission:
    (1) Determines that an error has been made with respect to the 
information contained in the notification;
    (2) Receives a payment or credits a payment to the account of the 
debtor named in the notification that reduces the amount of the debt 
referred to the IRS for offset; or
    (3) Receives notification that the individual owing the debt has 
filed for bankruptcy under Title 11 of the United States Code or has 
been adjudicated bankrupt and the debt has been discharged.
    (b) The Commission will not notify the IRS to increase the amount of 
a debt owed by a debtor named in the Commission's original notification 
to the IRS.
    (c) If the amount of a debt is reduced after referral by the 
Commission and offset by the IRS, the Commission will refund to the 
debtor any excess amount and will promptly notify the IRS of any refund 
made by the Commission.