Bill Text: MS HB1124 | 2013 | Regular Session | Introduced
Bill Title: Failure to pay taxes; garnish salaries of public officials and employees.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Failed) 2013-02-05 - Died In Committee [HB1124 Detail]
Download: Mississippi-2013-HB1124-Introduced.html
MISSISSIPPI LEGISLATURE
2013 Regular Session
To: Judiciary A
By: Representative Dixon
House Bill 1124
AN ACT TO AMEND SECTIONS 27-7-45, 27-7-55 AND 27-65-40, MISSISSIPPI CODE OF 1972, TO PROVIDE FOR THE GARNISHMENT OF SALARIES OF PUBLIC OFFICIALS AND EMPLOYEES WHO FAIL TO PAY TAXES AT 25% OF THE EMPLOYEE'S OR OFFICER'S SALARY OR FOR THE AMOUNT OF THE DELINQUENT TAXES, WHICHEVER IS LESS; AND FOR RELATED PURPOSES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:
SECTION 1. Section 27-7-45, Mississippi Code of 1972, is amended as follows:
27-7-45. (1) The tax levied by this article shall be paid when the return is due except as hereinafter provided.
(2) If any officer or
employee of the State of Mississippi, or any political subdivision thereof, * * * is in arrears in
child support payments for thirty (30) days after such payments become due and
payable, his wages, salary or other compensation shall be withheld and paid to
the * * * the Department of Human Services * * * in satisfaction of such
income tax, interest and penalty, if any, and any child support arrearage until
paid in full. This provision shall apply to any installments of income tax or
child support due, after the first installment, to require payment of the
entire balance of child support tax due, plus interest and penalty, if any,
before an officer or employee of the State of Mississippi, or any political
subdivision thereof, is eligible to draw any salary or other emoluments of
office. * * * The Department of Human Services is required to furnish the
officer's or the employee's employer, or other appropriate officer of the State
of Mississippi or its political subdivision, as the case may be, with notice
that child support payments have not been made. This notice shall serve as a
lien or attachment upon any salary or compensation due any employee or officer,
disregard of this notice creating personal liability against such officer for
the full amount of the income tax due, plus interest and penalty. * * *
Regardless of
the amount designated in the Department of Human Service's notice for
withholding and regardless of other fees imposed or amounts withheld pursuant
to this section, the payor shall not deduct from the income of the officer or
employee in excess of the amounts allowed under Section 303(b) of the Consumer
Credit Protection Act, being 15 USCS 1673, as amended.
(3) The * * * child support payment may be paid with
uncertified check during such time and under such regulations as the commissioner
or the Department of Human Services shall prescribe, but if the check so
received is not paid by the bank on which it is drawn, the officer or employee
for whom such check is tendered shall remain liable for * * * child support payment
and for all penalties, the same as if such check had not been tendered.
(4) If a corporation is subject to LIFO recapture pursuant to Section 1363(d) of the Code, then:
(a) Any increase in the tax imposed by Section 27-7-5 by reason of the inclusion of the LIFO recapture amount in its income shall be payable in four (4) equal installments;
(b) The first installment shall be paid on or before the due date (determined without regard to extensions) for filing the return for the first taxable year for which the corporation was subject to the LIFO recapture;
(c) The three (3) succeeding installments shall be paid on or before the due date (determined without regard to extensions) for filing the corporation's return for the three (3) succeeding taxable years; and
(d) For purposes of computing interest on underpayments, the last three (3) installments shall not be considered underpayments until after the payment due date specified above.
(5) For purposes of this section, a political subdivision includes, but is not limited to, a county or separate school district, institution of higher learning, state college or university, or state community college.
(6) The tax levied by this article and paid by a business enterprise located in a redevelopment project area under Sections 57-91-1 through 57-91-11 shall be deposited into the Redevelopment Project Incentive Fund created in Section 57-91-9.
(7) If any officer or employee of the State of Mississippi, or any political subdivision thereof, does not pay his state income tax on or before August 15 after such income tax becomes due and payable, the Department of Revenue may pursue any and all remedies for collection that are available to it in the collection of such taxes owed by persons who are not public officers or employees. Any garnishment made in accordance with law shall not be less than twenty-five percent (25%) of the employee's or officer's salary or the outstanding tax liability, whichever is less.
SECTION 2. Section 27-7-55, Mississippi Code of 1972, is amended as follows:
27-7-55. If any taxpayer,
liable for the payment of income taxes, penalties or interest, fails or refuses
to pay them after receiving the notice and demands as provided in Sections 27-7-49,
27-7-51 and 27-7-53, and if the taxpayer has not filed a timely appeal to the
board of review as provided by law, the commissioner shall file a notice of tax
lien for the income taxes, penalties and interest with the circuit clerk of the
county in which the taxpayer resides or owns property, which shall be enrolled
on the judgment roll. Immediately upon receipt of the notice of tax lien for
income taxes, penalties and interest, the circuit clerk shall enter upon the
judgment roll, in the appropriate columns, the name of the taxpayer as judgment
debtor, the name of the commissioner or * * * Department of Revenue
as judgment creditor, the amount of the taxes, penalties and interest, and the
date and time of enrollment. The judgment shall be valid as against mortgagees,
pledgees, entrusters, purchasers, judgment creditors, and other persons from
the time of filing with the clerk. The amount of the judgment shall be a debt
due the State of Mississippi and remain a lien upon all property and rights to
property belonging to the taxpayer, both real and personal, including choses in
action, with the same force and like effect as any enrolled judgment of a court
of record, and shall continue until satisfied; however, the judgment shall not
be a lien upon the property of the taxpayer for a longer period than seven (7)
years from the date of the filing of the notice of tax lien for income taxes,
penalties and interest unless an action is brought on the lien before the
expiration of such time or unless the commissioner refiles the notice of tax
lien before the expiration of such time. The judgment shall be a lien upon the
property of the taxpayer for a period of seven (7) years from the date of
refiling such notice of tax lien unless an action is brought on the lien before
the expiration of such time or unless the commissioner refiles such notice of
tax lien before the expiration of such time. There shall be no limit upon the
number of times that the commissioner may refile notices of tax liens. The
judgment shall serve as authority for the issuance of writs of execution, writs
of attachment, writs of garnishment or other remedial writs. The commissioner
may issue warrants for collection of income taxes from such judgments in lieu
of the issuance of any remedial writ by the circuit clerk.
Upon failure to pay the
taxes imposed under this article by any taxpayer who has executed any bond, the
commissioner shall give notice of the failure to the sureties of the bond and
demand payment of the tax, penalties and interest within ten (10) days. If the
sureties of the taxpayer's bond shall fail or refuse to pay the penal sum
demanded within the ten (10) days allowed, the commissioner shall file a notice
of tax lien with the circuit clerk of the county in which the sureties reside or
own property, which shall be enrolled upon the judgment roll, and the
commissioner may proceed to collect from the sureties as * * * provided in this section for
collecting from any judgment debtor.
The commissioner is hereby
authorized to pay the clerk's fee for enrolling certificates of indebtedness
and any court costs that may be adjudged against the * * * department or commissioner
out of funds appropriated by the Legislature to defray expenses of the * * * Department of Revenue.
Any action taken against public employees or officers for failing to pay taxes
levied by this chapter shall be consistent with the requirements of Section 27-7-45.
SECTION 3. Section 27-65-40, Mississippi Code of 1972, is amended as follows:
27-65-40. If any officer or
employee of the State of Mississippi, or any political subdivision thereof,
does not pay the state sales tax for which he is responsible to pay within two
(2) months after such sales tax becomes due and payable, * * *
the
Department of Revenue may pursue all remedies against such taxpayer as are
available against other persons who fail to pay taxes levied by this chapter.
Any garnishment taken against such public employee or officer shall be for an
amount of twenty-five percent (25%) of the employee's salary or for the
outstanding tax liability, whichever is less.
SECTION 4. This act shall take effect and be in force from and after July 1, 2013.
