HOUSE BILL REPORT

HB 203

BYRepresentative Madsen; by request of Department of Revenue

Authorizing service by certified mail, return receipt requested, of notices to withhold and deliver property due or owned by a taxpayer.

House Committe on Ways & Means/Revenue

Majority Report:     Do pass.  (10)

     Signed by Representatives Appelwick, Chair; Basich, Grimm, Holland, Madsen, Rust, Schoon, Taylor, Valle and Winsley.

House Staff:Rick Wickman (786-7150)

AS PASSED HOUSE MARCH 2, 1987

BACKGROUND:

The Notice and Order to Withhold and Deliver is the levy document routinely used by the Department of Revenue's Compliance Section to enforce payment on judgment liens.  At present, this notice must be personally served by the sheriff of the county in which the service is to occur or by an authorized representative of the Department of Revenue. This results in travel costs for the Department when service must be made to a person, bank, employer or creditor of the delinquent taxpayer.

The Department has interpreted existing statute to include a "continuing" effect after service to attach further funds owed to the taxpayer until officially released.  The Department seeks language in the statute to confirm this interpretation.

SUMMARY:

Service of a Notice and Order to Withhold and Deliver via certified mail (return receipt requested) is authorized as an alternative to personal service.  The continuing nature of this levy is confirmed.

Fiscal Note:    Attached.

House Committee ‑ Testified For:     Barney McClure, Department of Revenue.

House Committee - Testified Against: None Presented.

House Committee - Testimony For:     This bill authorizes service to certified mail, return receipt requested of notices and deliver property due or owned by a taxpayer.

House Committee - Testimony Against: None Presented.