State to seize tax returns of unemployment cheats

CHICAGO – The Illinois Department of Employment Security plans to garnish the state tax returns of people who wrongfully collected unemployment insurance.

The agency Wednesday said the initiative will save the state $40 million per year.

IDES Director Jay Rowell says the agency also will seek to garnish federal tax returns to recover $158 million from people who refuse to enter into a payment plan.

Unemployment insurance benefits are funded through business contributions, so Rowell says stopping fraud and recovering improper payments reduces the cost of doing business in Illinois.