71.91(7)(b)
(b) The department may give notice to any employer deriving income having a taxable situs in this state (regardless of whether any such income is exempt from taxation) to the effect that an employe of such employer is delinquent in a certain amount with respect to state taxes, including penalties, interest and costs. Such notice may be served by mail or by delivery by an employe of the department of revenue. Upon receipt of such notice of delinquency, the employer shall withhold from compensation due, or to become due to the employe, the total amount shown by the notice. The department may direct the employer to withhold part of the amount due the employe each pay period, until the total amount as shown by the notice, plus interest, has been withheld. The employer may not withhold more than 25% of the compensation due any employe for any one pay period, except that, if the employe leaves the employ of the employer or gives notice of his or her intention to do so, or is discharged for any reason, the employer shall withhold the entire amount otherwise payable to such employe, or so much thereof as may be necessary to equal the unwithheld balance of the amount shown in the notice of delinquency, plus delinquent interest. In crediting amounts withheld against delinquent taxes of an employe, the department shall apply amounts withheld in the following order: costs, penalties, delinquent interest, delinquent tax. The "compensation due" any employe for purposes of determining the 25% maximum withholding for any one pay period shall include all wages, salaries and fees constituting income, including wages, salaries, income advances or other consideration paid for future services, when paid to an employe, less amounts payable pursuant to a garnishment action with respect to which the employer was served prior to being served with the notice of delinquency and any amounts covered by any irrevocable and previously effective assignment of wages, of which amounts and the facts relating to such assignment the employer shall give notice to the department within 10 days after service of the notice of delinquency.
71.91(7)(c)
(c) In any case in which the employe ceases to be employed by the employer before the full amount set forth in a notice of delinquency, plus delinquent interest, has been withheld by the employer, the employer shall immediately notify the department in writing of the termination date of the employe and the total amount withheld.
71.91(7)(d)
(d) The employer shall, on or before the last day of the month after the month during which an amount was withheld, remit to the department that amount. Any amount withheld from an employe by an employer shall immediately be a trust fund for this state. Should any employer, after notice, wilfully fail to withhold in accordance with the notice and this subsection, or wilfully fail to remit any amount withheld, as required by this subsection, such employer shall be liable for the total amount set forth in the notice together with delinquent interest as though the amount shown by the notice was due by such employer as a direct obligation to the state for delinquent taxes, and may be collected by any means provided by law including the means provided for the collection of delinquent income or franchise taxes. However, no amount required to be paid by an employer by reason of his or her failure to remit under this paragraph may be deducted from the gross income of such employer. Any amount collected from the employer for failure to withhold or for failure to remit under this subsection shall be credited as tax, costs, penalties and interest paid by the employe.
71.91(7)(e)
(e) Paragraphs (b) to
(d) shall apply in any case in which the employer is the United States or any instrumentality thereof or this state or any municipality or other subordinate unit thereof except those provisions imposing a liability on the employer for failure to withhold or remit. But an amount equal to any amount withheld by any municipality or other subordinate unit of this state under this subsection and not remitted to the department as required by this subsection shall be retained by the state treasurer from funds otherwise payable to any such municipality or subordinate unit, and transmitted instead to the department, upon certification by the secretary of revenue.
71.91(7)(f)
(f) The department shall refund to the employe excess amounts withheld from the employe under this subsection.
71.91(7)(g)
(g) Employers required to withhold delinquent taxes, penalties, interest and costs under this subsection shall not be required to withhold amounts other than the total amounts certified to such employers by the department and shall not be required to compute interest, costs or other charges to be withheld.
71.91(7)(h)
(h) The department may, by written notice served personally or by mail, require any employer, as defined in
s. 71.63 (3), to withhold from the compensation due or to become due to any entertainer or entertainment corporation the amount of any delinquent state taxes, including costs, penalties and interest, shown by the notice. The employer shall send the money withheld to the department on or before the last day of the month after the month during which an amount was withheld.
71.91(8)
(8) Hearing on certification of tax delinquency. The department of revenue shall conduct a hearing requested by a credential holder under
s. 440.08 (4) (b) 2. to review a certification of tax delinquency that is the basis of a denial by the department of regulation and licensing under
s. 440.08 (4) (b) 1. of an application for the renewal of a credential. A hearing under this subsection is limited to questions of mistaken identity of the credential holder and prior payment of the delinquent taxes for which the department of revenue certified the credential holder is liable. At a hearing under this subsection, any statement filed by the department of revenue or the department of regulation and licensing may be admitted into evidence and is prima facie evidence of the facts that it contains.
71.91 Annotation
A lien docketed under sub. (5) (b) continues until the tax liability is satisfied, not for ten years.
81 Atty. Gen. 41.
71.92(2)(2) Any taxpayer who is unable to pay the full amount of his or her delinquent income or franchise taxes, costs, penalties and interest may apply to the department of revenue to pay such taxes, costs, penalties and interest in instalments. Such application shall contain a statement of the reasons such taxes, costs, penalties and interest cannot be paid in full and shall set forth the plan of instalment payments proposed by the taxpayer. Upon approval of such plan by the department and the payment of instalments in accordance therewith collection proceedings with respect to such taxes, costs, penalties and interest shall be withheld; but on failure of the taxpayer to make any instalment payment, the department shall proceed to collect the unpaid portion of such taxes, costs, penalties and interest in the manner provided by law.
71.92(3)
(3) Any taxpayer may petition the department of revenue to compromise his or her delinquent income or franchise taxes including the costs, penalties and interest. Such petition shall set forth a sworn statement of the taxpayer and shall be in such form as the department shall prescribe and the department may examine the petitioner under oath concerning the matter. If the department finds that the taxpayer is unable to pay the taxes, costs, penalties and interest in full it shall determine the amount the taxpayer is able to pay and shall enter an order reducing such taxes, costs, penalties and interest in accordance with such determination. Such order shall provide that such compromise shall be effective only if paid within 10 days. The department or its collection agents upon receipt of such order shall accept payment in accordance with the order. Upon payment the department shall credit the unpaid portion of the principal amount of such taxes and make appropriate record of the unpaid amount of penalties, costs, and interest accrued to the date of such order. If within 3 years of the date of such compromise order the department shall ascertain that the taxpayer has an income or property sufficient to enable the taxpayer to pay the remainder of the tax including costs, penalty and interest the department shall reopen said matter and order the payment in full of such taxes, costs, penalties and interest. Before the entry of such order a notice shall be given to the taxpayer in writing advising of the intention of the department of revenue to reopen such matter and fixing a time and place for the appearance of the taxpayer if the taxpayer desires a hearing. Upon entry of such order the department of revenue shall make an appropriate record of the principal amount of such taxes, penalties, costs and interest ordered to be paid and such taxes shall be immediately due and payable and shall thereafter be subject to the interest provided by
s. 71.82 (2), and the department shall immediately proceed to collect the same together with the unpaid portion of penalty, costs, and interest accrued to the date of the compromise order.
71.92(4)
(4) Delinquent income or franchise taxes, interest and penalties, resulting from assessments pursuant to
s. 71.74 (3),
71.82 (2) (d) or
71.83 (1) (a) 3. or
4. or
(b) 2. or
3. or from assessments by virtue of disallowance of claimed deductions for failure to file information reports relating thereto, as required by this chapter, may be compromised by the department when such action is fair and equitable under the circumstances.
71.92(6)
(6) If any delinquent income or franchise tax has been referred by the department to the attorney general for collection and after having fully investigated the matter the attorney general determines that it would be in the best interest of the state to compromise the tax, a written recommendation shall be made to the department stating the terms upon which the tax should be compromised and the reasons therefor. The department shall approve or disapprove the recommendation and notify the department of justice. If approved the department of justice may enter into a stipulation with the taxpayer providing for the compromise of the tax on the terms set forth in the recommendation and upon compliance by the taxpayer the tax shall be fully discharged. The department of justice shall furnish the department with a copy of such stipulation, and the department or its agents charged with the collection of income or franchise taxes may accept payment of such tax in accordance with the terms of such stipulation and upon payment being made shall credit the unpaid portion of the tax. This subsection shall be in addition to all other powers of the department of justice and the department of revenue with respect to compromise or settlement of income or franchise taxes.
71.93
71.93
Setoffs for other state agencies. 71.93(1)
(1)
Definitions. In this section:
71.93(1)(a)1.
1. An amount owed to a state agency that has been reduced to a judgment.
71.93(1)(a)2.
2. A delinquent child support or spousal support obligation that has been reduced to a judgment and has been submitted by an agency of another state to the department of industry, labor and job development for certification under this section.
71.93(1)(a)3.
3. An amount that the department of health and family services may recover under
s. 49.497, if the department of health and family services has certified the amount under
s. 49.85.
71.93(1)(a)4.
4. An amount that the department of industry, labor and job development may recover under
s. 49.125 or
49.195 (3), if the department of industry, labor and job development has certified the amount under
s. 49.85.
71.93(1)(b)
(b) "Debtor" means any person owing a debt to a state agency and any person who owes a delinquent child support or spousal support obligation to an agency of another state.
71.93(1)(c)
(c) "Department" means the department of revenue.
71.93(1)(d)
(d) "Refund" means the excess amount by which any payments, refundable credits or both exceed a debtor's Wisconsin tax liability or any other liability owed to the department.
71.93(2)
(2) Certification. A state agency may certify to the department for setoff any properly identified debt exceeding $20. At least 30 days prior to certification each debtor shall be sent a notice by the state agency of its intent to certify the debt to the department for setoff and of the debtor's right of appeal. At the time of certification, the certifying state agency shall furnish the social security number of individual debtors and the federal employer identification number of other debtors.
71.93(3)
(3) Administration. In administering this section the department shall first check with the state agency certifying the debt to determine whether the debt has been collected by other means. If the debt remains uncollected the department of revenue shall setoff any debt or other amount owed to the department, regardless of the origin of the debt or of the amount, its nature or its date. If after the setoff there remains a refund in excess of $10, the department shall set off the remaining refund against certified debts of other state agencies. If more than one certified debt exists for any debtor, the refund shall be first set off against the earliest debt certified, except that no child support or spousal support obligation submitted by an agency of another state may be set off until all debts owed to and certified by state agencies of this state have been set off. When all debts have been satisfied, any remaining refund shall be refunded to the debtor by the department.
71.93(4)
(4) Settlement. Within 30 days after the close of each calendar quarter, the department shall settle with each state agency that has certified a debt. Each settlement shall note the opening balance of debts certified, any additions or deletions, amounts set off and the ending balance at the close of the settlement period.
71.93(5)
(5) State agency charged for costs. At the time of each settlement, each state agency shall be charged for administration expenses, and the amounts charged shall be credited to the department's appropriation under
s. 20.566 (1) (h). Annually on or before November 1, the department shall review its costs incurred during the previous fiscal year in administering state agency setoffs and shall adjust its subsequent charges to each state agency to reflect that experience.
71.93(6)
(6) Written agreement and authority of department. Any state agency wishing to certify debts to the department shall enter into a written agreement with the department prior to any certification of debt. Any certification of debts by a state agency or changes to certified debts shall be in a manner and form prescribed by the department. The secretary of revenue shall be the final authority in the resolution of any interagency disputes in regard to certification of debts. If a refund is adjusted after a setoff, the department may readjust any erroneous settlement with a certifying state agency.
71.93(7)
(7) Exchange of information. Information relative to changes to any debt certified shall be exchanged promptly by each agency and the department setoff of refunds against debts certified by agencies and any reports of the setoff to certifying state agencies is not a violation of
ss. 71.78,
72.06,
77.61 (5),
78.80 (3) and
139.38 (6).
71.93(8)
(8) State agency debt agreements. Upon request by a state agency, the department of revenue may enter into an agreement with individuals who owe debts to the state agency. With the consent of the debtor, the department of revenue may arrange with the debtor's employer for the withholding from the debtor's pay of a specified amount to be applied against the debt.
71.935
71.935
Setoffs for municipalities and counties. 71.935(1)(a)
(a) "Debt" means an unpaid fine, fee, restitution or forfeiture of at least $20.
71.935(1)(b)
(b) "Debtor" means a person who owes a debt to a municipality or county.
71.935(1)(c)
(c) "Department" means the department of revenue.
71.935(2)
(2) A municipality or county may certify to the department any debt owed to it. Not later than 5 days after certification, the municipality or county shall notify the debtor in writing of its certification of the debt to the department, of the basis of the certification and of the debtor's right to appeal. At the time of certification, the municipality or county shall furnish to the department the name and social security number of each individual debtor and the name and federal employer identification number of each other debtor.
71.935(3)
(3) If the debt remains uncollected, the department shall set off the debt against any refund that is owed to the debtor after the setoff under
s. 71.93. Any legal action contesting a setoff shall be brought against the municipality or county.
71.935(4)
(4) Within 30 days after the end of each calendar quarter, the department shall settle with each municipality and county for the amounts that the department setoff for the municipality or county during that calendar quarter.
71.935(5)
(5) At the time of each settlement, each municipality and county shall be charged for administration expenses, and the amounts charged shall be credited to the appropriation account under
s. 20.566 (1) (h). Annually on or before November 1, the department shall review its costs incurred during the previous fiscal year in administering setoffs under this section and shall adjust its subsequent charges to each municipality and county to reflect that experience.
71.935 History
History: 1995 a. 27.
71.94
71.94
Penalties. Unless specifically provided in this subchapter, the penalties under
subch. XIII apply for failure to comply with this subchapter unless the context requires otherwise.
71.94 History
History: 1987 a. 312.
