§299.7. Offset and remittance to the claimant; escrow account; removal from escrow account

           A. Upon acceptance of an offset claim or claims that have not been disallowed the secretary shall remit to the claiming agencies the amount of claim or claims that can be paid out of the amount of the individual's refund; provided that any liability owed to the secretary under individual income tax law has been satisfied.

           B. Any amount offset by the secretary and remitted to the claiming agency shall be placed in an escrow account and held by the agency for a period of forty-five days from the date of mailing of the notice of offset to the individual.

           C. If a written contest to the offset is made within the forty-five day period, the amount of offset in the escrow account shall be further held pending the final disposition of the matter by the agency or by a court.

           D. If no written contest to the offset is made within the forty-five day period, such failure by the individual shall be deemed a waiver of the individual's right to contest the offset and the amount of offset shall be removed from the escrow account and credited against the individual's debt to the claiming agency or against the individual's debt to the person on whose behalf the agency is claiming.

           Acts 1983, No. 288, §1, eff. Jan. 1, 1985.