1999 Tax Law Changes - Debt Set-Off

G.S. 105A - Setoff Debt Collection Changes: Chapter 105A was rewritten in 1997 to make the following changes, which take effect January 1, 2000:

Allow local government agencies to file claims for setoff of individual income tax refunds.
Require all State agencies to submit debts for setoff unless the State Controller waives the requirement for that agency.
Shift liability for the collection assistance fee retained by the Department of Revenue from the claimant agency to the debtor, except for child support arrearages.
Make the setoff process automatic within the Department of Revenue if a claim has been filed and the claim and refund available for setoff is $50 or more.

(Effective January 1, 2000, for income tax refunds determined on or after that date; SB 39; s. 1, S.L. 97-490.)