Commission to determine portion of an amount subject to levy -- Process for resolution of dispute -- Extension of certain time periods -- District court action -- Rulemaking authority

# (1)

In accordance with this section, the commission, in consultation with the depository institution, shall determine the portion of the amount subject to a levy under this part.

# (2)

The time period for making the determination required by Subsection (1):

# (a)

begins on the day on which the commission provides a notice of levy described in Section 59-1-1707 to a depository institution; and

# (b)

ends on the first business day after a 21-day period beginning on the day described in Subsection (2)(a).

# (3)

The commission shall provide notice to a depository institution, no later than the last day of the time period described in Subsection (2), of the portion of the amount subject to a levy under this part.

# (4)

The portion of an amount subject to levy under this part that the commission may receive from a depository institution may not exceed the lesser of:

# (a)

the amount of the liability that is subject to the levy;

# (b)

the amount the commission would have been able to receive had the commission obtained a writ of garnishment; or

# (c)

the balance of the delinquent taxpayer's account that a depository institution has secured or will secure in accordance with Section 59-1-1708 minus any amounts that the depository institution holds as a security interest.

# (5)

As part of the determination required by Subsection (1), the commission shall allow a delinquent taxpayer to communicate with and provide information to the commission.

# (6)

The commission shall order a conference between the commission and the delinquent taxpayer in accordance with Section 63G-4-102 if:

# (a)

the commission finds that there is a dispute as to an issue related to the determination required by Subsection (1); or

# (b)

a delinquent taxpayer requests the conference to address a dispute as to an issue related to the determination required by Subsection (1).

# (7)

The time period beginning on the day on which the commission orders a conference in accordance with Subsection (6) and ending on the day on which the conference adjourns may not be included in calculating a time period:

# (a)

during which a levy is valid;

# (b)

during which a depository institution is required to secure an amount in accordance with Section 59-1-1708;

# (c)

for making the determination required by Subsection (1); or

# (d)

for requiring a depository institution to release a portion of an amount to the commission in accordance with Section 59-1-1711.

# (8)

If a conference described in Subsection (6) does not result in the resolution of the issues related to the determination required by Subsection (1), a delinquent taxpayer may file an action in district court:

# (a)

within 14 days after the day on which a conference described in Subsection (6) adjourns; and

# (b)

in the district court located in the county of residence or principal place of business of the delinquent taxpayer.

# (9)

# (a)

Subject to Subsection (9)(b), the time period beginning on the day on which a delinquent taxpayer files an action in accordance with Subsection (8) and ending on the day on which the action becomes final may not be included in calculating a time period:

(i) during which a levy is valid;

(ii) during which a depository institution is required to secure an amount in accordance with Section 59-1-1708;

(iii) for making the determination required by Subsection (1); or

(iv) for requiring a depository institution to release a portion of an amount to the commission in accordance with Section 59-1-1711.

# (b)

In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the commission may make rules for determining when an action under this section becomes final.