If a written request for a hearing, or payment of delinquent receivable, is not received by the state or other governmental entity within 21 days from the date of the notice required by Section 63A-3-303, the debtor is in default and the state or other governmental entity may:

1. (1) levy the debtor's income tax overpayment or refund up to the amount of the receivable, plus interest, penalties, and collection costs allowed by law; and
2. (2) collect the balance, including as provided in Section 63A-3-307.