1. (1) Subject to Subsection R21-3-9(2), upon receipt of an injured spouse claim from the spouse of a debtor, a levying agency shall:

   1. (a) review the claim for validity;
   2. (b) determine the frequency of claims made; and
   3. (c) when a claim is approved by the levying agency, release the offset of matched funds proportionate to the income of the injured spouse using the following formula: (income of injured spouse/total household gross income) x levied amount.

2. (2) Recognizing that levying agencies are not statutorily required to honor injured spouse claims:

   1. (a) agencies levying taxes under this section must honor at least a first-time injured spouse claim that is determined to be valid if the claim is received within 21 calendar days of the date of the notification required under Section R21-3-7. Claims that are not received within 21 days may be denied at the discretion of the levying agency.
   2. (b) subsequent claims may be denied at the discretion of the levying agency.

3. (3) Valid injured spouse claims should require at a minimum:

   1. (a) federal tax returns;
   2. (b) IRS Form 8379;
   3. (c) income documents, including any Form W-2s and Form 1099s; and
   4. (d) state tax returns.

KEY: accounts receivable, administrative offset

Date of Last Change: February 13, 2025

Notice of Continuation: December 1, 2021

Authorizing, and Implemented or Interpreted Law: 63A-3-310; 63A-3-504(2)(f)