This bill amends the existing law regarding garnishment against the state or its subdivisions, specifically allowing for income tax refunds to be subject to garnishment by judgment creditors. The current law previously exempted refunds for overpayment of Arkansas state income tax from garnishment. The amendment modifies this by removing the exemption, thereby enabling creditors to garnish these refunds as part of the garnishment process.

Additionally, the bill clarifies that the provisions regarding garnishment do not eliminate or limit the existing laws concerning the set-off of debts owed to state programs. This ensures that while income tax refunds can be garnished, the rights of the state to offset debts through other means remain intact. Overall, the bill aims to enhance the ability of judgment creditors to collect debts owed to them by allowing garnishment of state income tax refunds.

Statutes affected:
HB 1676: 16-110-413(a)