3,425. Repaying Debts With Tevel
Hilchos Maaser 6:9
It is prohibited to repay a debt using untithed produce because doing so resembles a sale.
Hilchos Maaser 6:10
Let’s say that a person’s crops were seized untithed by the king’s officers. If they were seized because he legitimately owed the value of the crops, he must take tithes for that produce. If they were seized illegitimately, he need not take tithes for that produce.