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H.B. 554

Failed

State Debt Collection Amendments

View on le.utah.gov
H.B. 554Failed

State Debt Collection Amendments

House
Senate
Governor

What This Bill Does

This bill modifies provisions related to government debt collection.

Key Provisions

This bill:

  • directs the State Tax Commission to apply an overpayment of corporate income tax to any amounts the taxpayer owes under the Crime Victims Restitution Act;
  • provides that a governmental entity may engage in collection activity regardless of whether the amount due has been reduced to a judgment;
  • makes consistent the definitions of certain terms related to collections;
  • allows the Office of State Debt Collection to maintain up to one year of expenses in the State Debt Collection Fund at the end of each fiscal year; and
  • makes technical and conforming changes.

Plain-Language Summary

AI-generated summary. We recommend consulting the bill text for important decisions.

H.B. 554 updates how the state collects money owed to government agencies. It requires the State Tax Commission to automatically apply any corporate income tax overpayment — meaning a refund owed to a business — first toward any restitution that business owes to crime victims before returning the remainder to the taxpayer. The bill also clarifies that government agencies can pursue debt collection even when a formal court judgment hasn't yet been issued, and it allows the Office of State Debt Collection to carry over up to one year's worth of operating expenses in its fund at the end of each fiscal year rather than returning all remaining money to the state's general fund.