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FAR and DFARS › DFARS Part 232: Contract Financing › Subpart 232.71

DFARS 232.7100 Scope of subpart.

The codified text (eCFR, as of 2026-10-02). Under the Revolutionary FAR Overhaul ↗, agencies follow class deviations with new text for many parts while the formal rules go through the Federal Register: check the solicitation and your contract's clauses, which rule.

In plain English

This subpart sets out policies and procedures for how IRS levies under 26 U.S.C. 6331(h) affect payments on DoD contracts. It notes that the IRS can levy up to 100 percent of payments made under a DoD contract, up to the amount of the tax debt. Contractors should understand that contract payments may be reduced or diverted because of such a levy.

Applies to: DoD contracts and contract payments

Key terms: levy · 26 U.S.C. 6331(h) · contract payments · DoD contract · tax debt

Written by AI from this section's text. A guide, not legal advice: the text below rules.

The text

This subpart prescribes policies and procedures concerning the effect of levies pursuant to 26 U.S.C. 6331(h) on contract payments. The Internal Revenue Service (IRS) is authorized to levy up to 100 percent of all payments made under a DoD contract, up to the amount of the tax debt.

← 232.7004 Contract clauses. · 232.7101 Policy and procedures. →

Rule changes for DFARS Part 232

Source: eCFR, 48 CFR chapters 1 and 2 (GPO GovInfo bulk data) ↗. Plain words for the terms: glossary.

DFARS 232.7100 Scope of subpart · SpendQuery