Overpayments occur when a person receives more income than they should from a particular source.
When the client must pay excess income back to the original source, do not count the income deducted or voluntarily or involuntarily returned toward Child Care eligibility.
This exclusion also applies to TANF recipients who must send their child support payments to Child Support Services to maintain TANF eligibility.
Intentional Program Violation Exception
An overpayment becomes countable when the income recipient commits an intentional program violation (IPV) while receiving a means tested assistance program. When the client must repay an overpayment to one of these programs, you must confirm if the overpayment is due to an IPV. If so, do not exclude the income used to repay the overpayment.