Ch. 31

1997 LAWS OF MARYLAND

(1) IF A DEBTOR HAS FILED A JOINT INCOME TAX RETURN AND THE
DEBT IS NOT THE LIABILITY OF BOTH TAXPAYERS, THE COMPTROLLER MAY NOT
WITHHOLD THAT PORTION OF AN INCOME TAX REFUND ATTRIBUTABLE TO THE
INDIVIDUAL NOT OWING THE DEBT.

(2) AFTER RECEIVING CERTIFICATION OF A DEBT FROM THE CENTRAL
COLLECTION UNIT, THE COMPTROLLER SHALL PROMPTLY NOTIFY THE CENTRAL
COLLECTION UNIT IF THE COMPTROLLER DETERMINES THAT A WITHHOLDING
CANNOT BE MADE.

(3) IF AN INCOME TAX REFUND IS INSUFFICIENT TO SATISFY A DEBT,
THE COMPTROLLER MAY WITHHOLD AMOUNTS FROM SUBSEQUENT INCOME TAX
REFUNDS DUE A DEBTOR UNTIL THE DEBT IS EXTINGUISHED.

(4) PARTIAL PAYMENTS OF THE DEBT SHALL FIRST BE APPLIED
AGAINST ACCRUED INTEREST, IF ANY, AND THEN TO THE PRINCIPAL AMOUNT OF
THE DEBT.

(5) INTEREST ON A DEBT MAY BE WITHHELD AT THE RATE
ESTABLISHED FOR THAT DEBT BY LAW OR CONTRACT.

(D) DISCLOSURES BY COMPTROLLER.

EXCEPT FOR THE AMOUNT OF ANY INCOME TAX REFUND TO WHICH A DEBTOR
IS ENTITLED, THE COMPTROLLER MAY NOT DISCLOSE ANY ITEM CONTAINED ON A
STATE OR FEDERAL TAX RETURN OR INFORMATION REQUIRED BY STATE LAW TO
BE ATTACHED TO THE STATE RETURN.

REVISOR'S NOTE: This section is new language derived without substantive
change from former Art. 19, § 46(a) through (d). In subsection (c)(1) of this
section, the former reference to combined-separate income tax returns is
deleted as obsolete.

13-916. INVESTIGATION.

(A) RIGHT TO INVESTIGATION.

A DEBTOR MAY REQUEST THE CENTRAL COLLECTION UNIT TO INVESTIGATE A
DEBT:

(1) AFTER NOTIFICATION FROM THE CENTRAL COLLECTION UNIT
UNDER § 13-914 OF THIS SUBTITLE THAT THE CENTRAL COLLECTION UNIT INTENDS
TO REQUEST THE COMPTROLLER TO WITHHOLD THE DEBT FROM ANY INCOME TAX
REFUND DUE THE DEBTOR; OR

(2) WITHIN 30 DAYS AFTER NOTIFICATION FROM THE COMPTROLLER
UNDER § 13-915 OF THIS SUBTITLE THAT A DEBT HAS BEEN WITHHELD.

(B) INVESTIGATION.

(1) ON RECEIPT OF A REQUEST FOR AN INVESTIGATION, THE CENTRAL
COLLECTION UNIT SHALL INVESTIGATE ANY QUESTIONED DEBT WITH THE STATE
AGENCY THAT REFERRED THE DEBT.

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