§ 106-9.4. Collection of delinquent fees and taxes.
§ 106‑9.4. Collection of delinquent fees and taxes.
(a) If any fee or tax imposed by this Chapter, or any other feeor tax levied by the State and payable to the Commissioner of Agriculture orthe Department of Agriculture and Consumer Services, or any portion of such feeor tax, be not paid within 30 days after the same becomes due and payable, andafter the same has been assessed, the Commissioner of Agriculture shall issuean order under his hand and official seal, directed to the sheriff of any countyof the State commanding him to levy upon and sell the real and personalproperty of the taxpayer found within his county for the payment of the amountthereof, with the added penalties, additional taxes, interest, and cost ofexecuting the same, and to return to the Commissioner of Agriculture the moneycollected by virtue thereof within a time to be therein specified, not lessthan 60 days from the date of the order. The said sheriff shall, thereupon,proceed upon the same in all respects with like effect and in the same mannerprescribed by law in respect to executions issued against property uponjudgments of a court of record, and shall be entitled to the same fees for hisservices in executing the order, to be collected in the same manner.
(b) Bank deposits, rents, salaries, wages, and all other chosesin action or property incapable of manual levy or delivery, hereinafter calledthe intangible, belonging, owing, or to become due to any taxpayer subject toany of the provisions of this Chapter, or which has been transferred by suchtaxpayer under circumstances which would permit it to be levied upon if it weretangible, shall be subject to attachment or garnishment as herein provided, andthe person owing said intangible, matured or unmatured, or having same in hispossession or control, hereinafter called the garnishee, shall become liablefor all sums due by the taxpayer under this Chapter to the extent of the amountof the intangible belonging, owing, or to become due to the taxpayer subject tothe setoff of any matured or unmatured indebtedness of the taxpayer to thegarnishee. To effect such attachment or garnishment the Commissioner ofAgriculture shall serve or cause to be served upon the taxpayer and thegarnishee a notice as hereinafter provided, which notice may be served by anydeputy or employee of the Commissioner of Agriculture or by any officer havingauthority to serve summonses. Said notice shall show:
(1) The name of the taxpayer and his address, if known;
(2) The nature and amount of the fee or tax, and the interestand penalties thereon, and the year or years for which the same were levied orassessed, and
(3) Shall be accompanied by a copy of this subsection, andthereupon the procedure shall be as follows:
If the garnishee has no defense to offer or no setoff against thetaxpayer, he shall, within 10 days after service of said notice, answer thesame by sending to the Commissioner of Agriculture by registered mail astatement to that effect, and if the amount due or belonging to the taxpayer isthen due or subject to his demand, it shall be remitted to the Commissionerwith said statement, but if said amount is to mature in the future, thestatement shall set forth that fact and the same shall be paid to theCommissioner upon maturity, and any payment by the garnishee hereunder shall bea complete extinguishment of any liability therefor on his part to thetaxpayer. If the garnishee has any defense or setoff, he shall state the samein writing under oath, and, within 10 days after service of said notice, shallsend two copies of said statement to the Commissioner by registered mail; ifthe Commissioner admits such defense or setoff, he shall so advise thegarnishee in writing within 10 days after receipt of such statement and theattachment or garnishment shall thereupon be discharged to the amount requiredby such defense or setoff, and any amount attached or garnished hereunder whichis not affected by such defense or setoff shall be remitted to the Commissioneras above provided in cases where the garnishee has no defense or setoff, andwith like effect. If the Commissioner shall not admit the defense or setoff, heshall set forth in writing his objections thereto and shall send a copy thereofto the garnishee within 10 days after receipt of the garnishee's statement, orwithin such further time as may be agreed on by the garnishee, and at the sametime he shall file a copy of said notice, a copy of the garnishee's statement,and a copy of his objections thereto in the superior court of the county wherethe garnishee resides or does business where the issues made shall be tried asin civil actions.
If judgment is entered in favor of the Commissioner of Agriculture bydefault or after hearing, the garnishee shall become liable for the fee or taxes,interest and penalties due by the taxpayer to the extent of the amount over andabove any defense or setoff of the garnishee belonging, owing, or to become dueto the taxpayer, but payments shall not be required from amounts which are tobecome due to the taxpayer until the maturity thereof, nor shall more than tenpercent (10%) of any taxpayer's salary or wages be required to be paidhereunder in any one month. The garnishee may satisfy said judgment upon payingsaid amount, and if he fails to do so, execution may issue as provided by law.From any judgment or order entered upon such hearing either the Commissioner ofAgriculture or the garnishee may appeal as provided by law. If, before or afterjudgment, adequate security is filed for the payment of said taxes, interest,penalties, and costs, the attachment or garnishment may be released orexecution stayed pending appeal, but the final judgment shall be paid orenforced as above provided. The taxpayer's sole remedies to question hisliability for said fees or taxes, interest, and penalties shall be thoseprovided in this Article, as now or hereinafter amended or supplemented. If anythird person claims any intangible attached or garnished hereunder and hislawful right thereto, or to any part thereof, is shown to the Commissioner, heshall discharge the attachment or garnishment to the extent necessary toprotect such right, and if such right is asserted after the filing of saidcopies as aforesaid, it may be established by interpleader as now or hereafterprovided by the General Statutes in cases of attachment and garnishment. Incase such third party has no notice of proceedings hereunder, he shall have theright to file his petition under oath with the Commissioner at any time within12 months after said intangible is paid to him and if the Commissioner findsthat such party is lawfully entitled thereto or to any part thereof, he shallpay the same to such party as provided for refunds by G.S. 105‑407 and ifsuch payment is denied, said party may appeal from the determination of theCommissioner to the Superior Court of Wake County or to the superior court ofthe county wherein he resides or does business. The intangibles of a taxpayershall be paid or collected hereunder only to the extent necessary to satisfysaid fees or taxes, interest, penalties, and costs. Except as hereinafter setforth, the remedy provided in this section shall not be resorted to unless awarrant for collection or execution against the taxpayer has been returnedunsatisfied: Provided, however, if the Commissioner is of opinion that the onlyeffective remedy is that herein provided, it shall not be necessary that awarrant for collection or execution shall be first returned unsatisfied, and inno case shall it be a defense to the remedy herein provided that a warrant forcollection or execution has not been first returned unsatisfied: Provided,however, that no salary or wage at the rate of less than two hundred dollars($200.00) per month, whether paid weekly or monthly, shall be attached orgarnished under the provisions of this section.
(c) In addition to the remedy herein provided, the Commissionerof Agriculture is authorized and empowered to make a certificate setting forththe essential particulars relating to the said fee or tax, including the amountthereof, the date when the same was due and payable, the person, firm, orcorporation chargeable therewith, and the nature of the fee or tax, and underhis hand and seal transmit the same to the clerk of the superior court of anycounty in which the delinquent taxpayer resides or has property; whereupon, itshall be the duty of the clerk of the superior court of the county to docketthe said certificate and index the same on the cross index of judgments, andexecution may issue thereon with the same force and effect as an execution uponany other judgment of the superior court; said tax shall become a lien onrealty only from the date of the docketing of such certificate in the office ofthe clerk of the superior court and in personalty only from the date of thelevy on such personalty and upon execution thereon no homestead or personalproperty exemption shall be allowed.
(d) The remedies herein given are cumulative and in addition toall other remedies provided by law for the collection of said fees and taxes. (1963, c. 458; 1997‑261, s. 109.)