INCOME WITHHOLDING                                                            

CS 745 Termination of Income Withholding

11/85 Revised 05/07/18 Training Completed 10/09/15   

45 CFR 303.100(a)(7), U.C.A. 62A-11-405(4) and 408                                         

 

 

Statutory Authority

 

Utah law located at U.C.A. 62A-11-408 Termination of income withholding states:
“(1) (a) At any time after the date income withholding begins, a party to the child support order may request a judicial hearing or administrative review to determine whether income withholding should be terminated due to:

(i) good cause under Section 62A-11-404;

(ii) the execution of a written agreement under Section 62A-11-404; or

(iii) the completion of an obligor’s support obligation.

(b) An obligor's payment of overdue child support may not be the sole basis for termination of income withholding.

(c) If it is determined by a court or the office that income withholding should be terminated, the office shall give written notice of termination to each payor within 10 days after receipt of notice of that decision.

(d) If, after termination of income withholding by court or administrative order, an obligor's child support obligation becomes delinquent or subject to immediate and automatic income withholding under Section 62A-11-404, the office shall reinstate income withholding procedures in accordance with the provisions of this part.

(e) If the office terminates income withholding through an agreement with a party, the office may reinstate income withholding if:

(i) a delinquency occurs;

(ii) the obligor requests reinstatement;

(iii) the obligee requests reinstatement; or

(iv) the office, based on internal procedures and standards, determines reinstatement is appropriate.

(2) The office shall give written notice of termination to each payor when the obligor no longer owes child support to the obligee.

(3) A notice to withhold income, served by the office, is binding on a payor until the office notifies the payor that the obligation to withhold income has been terminated.”

 

    

Procedures - Income Withholding Termination in IV-D Cases

 

Terminate income withholding when:

 

1.                   The IV-D case is closed, e.g., the custodial parent (CP) in a Non-IV-A case requests his/her case closed; or

 

2.                   The Office of Recovery Services/Child Support Services (ORS/CSS) is no longer enforcing the current support obligation or there is no longer a current obligation and all arrearages have been satisfied on all CSS cases that meet income withholding criteria.  Examples are:

a.                   The non-custodial parent (NCP) has paid his debt to the State for past due support in full and does not owe current support because the NCP has temporary custody of the children by court order;

b.                  The formerly separated NCP and CP have reconciled, there is an administrative order for current support and the NCP does not owe past due support;

c.                   The CP has moved, efforts to locate a new address have been unsuccessful and you are closing the case.

 

Upon determining that income withholding should be terminated or if ordered to terminate income withholding by a court or an administrative order, promptly prepare and send the “Notice to Withhold: Termination” to the payor of income, indicating the payor is to terminate the withholding.  Send a copy of the termination and “Income Withholding Termination Letter” to the NCP.  Place a copy in the case file. 

 

NOTE 1: There may be reasons to terminate income withholding when the NCP is still employed.

 

NOTE 2:  When an NCP has multiple cases and income withholding will terminate on only one of the cases, review the remaining case(s) to determine if income withholding is adequately meeting the current support obligation and any arrears balance(s) on the other case(s).  During the transition from multiple case NTW to single case NTW, you must generate an amended single case NTW for the remaining case(s) when sending a termination notice on a multiple case NTW in order to avoid the employer terminating withholding for all of the NCP’s cases.  Sending an amended NTW in these situations will help the employer understand which case the income withholding should be terminated for and on which case(s) income withholding should continue. 

 

 

Procedures - Income Withholding Termination in Non IV-D Cases

 

In Non-IV-D (team 59) cases, either parent may petition the court that issued the withholding order to determine whether income withholding should be terminated due to:

 

1.                   Good cause; or,

2.                   The completion of an NCP’s support obligation.

 

An NCP’s payment of past-due support may not be the sole basis for termination of income withholding.

 

If the parties enter into an agreement to terminate income withholding, it is not necessary to return to court to effect the agreement.

 

Upon determination that income withholding should be terminated, the CP is responsible for notifying each payor of income that the withholding has terminated.

 

 

Automatic Termination of Income Withholding

 

If an NCP applies and is approved for Automatic Payment Withhdrawal (APW), a termination of income withholding document will be generated and sent to the NCP’s employer.