{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/58.1-526.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/58.1-526.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/58.1-526.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/58.1-526.html"}],"law_id":84436,"edition_id":1,"section_id":84436,"structure_id":13797,"section_number":"58.1-526","catch_line":"Hearing procedure","history":"Code 1950, \u00a7 58-19.13; 1981, c. 408; 1982, c. 621; 1984, cc. 675, 720; 1996, cc. 363, 413; 1997, c. 496.","full_text":"A\n\nIf a claimant agency other than the Internal Revenue Service receives written application of the debtor’s intention to contest at a hearing the claim upon which the intended setoff is based, it shall grant a hearing according to procedures established by that agency under its operating statutes to determine whether the claim is valid. Additionally, it shall be determined at the hearing whether the claimed sum asserted as due and owing is correct, and if not, an adjustment to the claim shall be made. A debtor of the Internal Revenue Service shall contest the claim only in accordance with federal law and procedures.B\n\nPending final determination at the hearing of the validity of the debt asserted by the claimant agency, no action shall be taken in furtherance of collection through the setoff procedure allowed under this article.C\n\nNo person hearing the debtor’s application contesting the claimant agency’s claim shall have been involved in the prior circumstances which have culminated in such dispute.D\n\nNo issue may be considered at the hearing which has been previously litigated.E\n\nIn the case of setoff arising out of delinquent local taxes, the scope of the hearing shall be limited to determining whether the setoff is a tax obligation that remains due and owing to the locality, and shall not address the underlying basis of the tax obligation.","order_by":null,"text":{"0":{"id":302658,"text":"If a claimant agency other than the Internal Revenue Service receives written application of the debtor’s intention to contest at a hearing the claim upon which the intended setoff is based, it shall grant a hearing according to procedures established by that agency under its operating statutes to determine whether the claim is valid. Additionally, it shall be determined at the hearing whether the claimed sum asserted as due and owing is correct, and if not, an adjustment to the claim shall be made. A debtor of the Internal Revenue Service shall contest the claim only in accordance with federal law and procedures.","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"B"},"1":{"id":302659,"text":"Pending final determination at the hearing of the validity of the debt asserted by the claimant agency, no action shall be taken in furtherance of collection through the setoff procedure allowed under this article.","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A","next_prefix":"C"},"2":{"id":302660,"text":"No person hearing the debtor’s application contesting the claimant agency’s claim shall have been involved in the prior circumstances which have culminated in such dispute.","type":"section","prefixes":["C"],"prefix":"C","entire_prefix":"C","prefix_anchor":"C","level":1,"prior_prefix":"B","next_prefix":"D"},"3":{"id":302661,"text":"No issue may be considered at the hearing which has been previously litigated.","type":"section","prefixes":["D"],"prefix":"D","entire_prefix":"D","prefix_anchor":"D","level":1,"prior_prefix":"C","next_prefix":"E"},"4":{"id":302662,"text":"In the case of setoff arising out of delinquent local taxes, the scope of the hearing shall be limited to determining whether the setoff is a tax obligation that remains due and owing to the locality, and shall not address the underlying basis of the tax obligation.","type":"section","prefixes":["E"],"prefix":"E","entire_prefix":"E","prefix_anchor":"E","level":1,"prior_prefix":"D"}},"ancestry":[{"id":13797,"edition_id":1,"name":"Setoff Debt Collection Act","identifier":"21","label":"article","depth":4,"order_by":1,"parent_id":13152,"metadata":{},"date_created":"2026-06-26 03:45:54","date_modified":"2026-06-26 03:45:54","permalink":{"id":254073,"object_type":"structure","relational_id":13797,"identifier":"21","token":"58.1\/I\/3\/21","url":"\/58.1\/I\/3\/21\/","edition_id":1,"permalink":0,"preferred":1}},{"id":13152,"edition_id":1,"name":"Income Tax","identifier":"3","label":"chapter","depth":3,"order_by":1,"parent_id":12837,"metadata":{},"date_created":"2026-06-26 03:44:21","date_modified":"2026-06-26 03:44:21","permalink":{"id":253267,"object_type":"structure","relational_id":13152,"identifier":"3","token":"58.1\/I\/3","url":"\/58.1\/I\/3\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12837,"edition_id":1,"name":"Taxes Administered by the Department of Taxation","identifier":"I","label":"subtitle","depth":2,"order_by":1,"parent_id":12703,"metadata":{},"date_created":"2026-06-26 03:43:55","date_modified":"2026-06-26 03:43:55","permalink":{"id":252075,"object_type":"structure","relational_id":12837,"identifier":"I","token":"58.1\/I","url":"\/58.1\/I\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12703,"edition_id":1,"name":"Taxation","identifier":"58.1","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:43:49","date_modified":"2026-06-26 03:43:49","permalink":{"id":251959,"object_type":"structure","relational_id":12703,"identifier":"58.1","token":"58.1","url":"\/58.1\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":57268,"structure_id":13797,"section_number":"58.1-520","catch_line":"(Contingent effective date) Definitions","url":"\/58.1-520\/","token":"58.1\/I\/3\/21\/58.1-520","metadata":false},{"id":85150,"structure_id":13797,"section_number":"58.1-520.1","catch_line":"Recovery of administrative costs","url":"\/58.1-520.1\/","token":"58.1\/I\/3\/21\/58.1-520.1","metadata":false},{"id":83424,"structure_id":13797,"section_number":"58.1-521","catch_line":"Remedy additional; mandatory usage; obtaining identifying information","url":"\/58.1-521\/","token":"58.1\/I\/3\/21\/58.1-521","metadata":false},{"id":79236,"structure_id":13797,"section_number":"58.1-522","catch_line":"Participation in setoff program not permitted in certain instances","url":"\/58.1-522\/","token":"58.1\/I\/3\/21\/58.1-522","metadata":false},{"id":76318,"structure_id":13797,"section_number":"58.1-523","catch_line":"Department to aid in collection of sums due claimant agencies through setoff","url":"\/58.1-523\/","token":"58.1\/I\/3\/21\/58.1-523","metadata":false},{"id":69012,"structure_id":13797,"section_number":"58.1-524","catch_line":"Notification of Department by claimant agency; action of Department","url":"\/58.1-524\/","token":"58.1\/I\/3\/21\/58.1-524","metadata":false},{"id":64147,"structure_id":13797,"section_number":"58.1-525","catch_line":"Notification of intention to set off and right to hearing","url":"\/58.1-525\/","token":"58.1\/I\/3\/21\/58.1-525","metadata":false},{"id":84436,"structure_id":13797,"section_number":"58.1-526","catch_line":"Hearing procedure","url":"\/58.1-526\/","token":"58.1\/I\/3\/21\/58.1-526","metadata":false},{"id":85890,"structure_id":13797,"section_number":"58.1-527","catch_line":"Appeals from hearings","url":"\/58.1-527\/","token":"58.1\/I\/3\/21\/58.1-527","metadata":false},{"id":69445,"structure_id":13797,"section_number":"58.1-528","catch_line":"Certification of debt by claimant agency; finalization of setoff","url":"\/58.1-528\/","token":"58.1\/I\/3\/21\/58.1-528","metadata":false},{"id":54805,"structure_id":13797,"section_number":"58.1-529","catch_line":"Notice of final setoff","url":"\/58.1-529\/","token":"58.1\/I\/3\/21\/58.1-529","metadata":false},{"id":86299,"structure_id":13797,"section_number":"58.1-530","catch_line":"(Contingent effective date -- see Editor's note) Priorities in claims to be setoff","url":"\/58.1-530\/","token":"58.1\/I\/3\/21\/58.1-530","metadata":false},{"id":85971,"structure_id":13797,"section_number":"58.1-531","catch_line":"Disposition of proceeds collected; Department's annual statement of costs","url":"\/58.1-531\/","token":"58.1\/I\/3\/21\/58.1-531","metadata":false},{"id":77927,"structure_id":13797,"section_number":"58.1-531.1","catch_line":"Errors in setoff program","url":"\/58.1-531.1\/","token":"58.1\/I\/3\/21\/58.1-531.1","metadata":false},{"id":69888,"structure_id":13797,"section_number":"58.1-532","catch_line":"Accounting to claimant agency; confidentiality; credit to debtor's obligation","url":"\/58.1-532\/","token":"58.1\/I\/3\/21\/58.1-532","metadata":false},{"id":84365,"structure_id":13797,"section_number":"58.1-533","catch_line":"Confidentiality exemption; use of information obtained","url":"\/58.1-533\/","token":"58.1\/I\/3\/21\/58.1-533","metadata":false},{"id":66617,"structure_id":13797,"section_number":"58.1-534","catch_line":"Rules and regulations","url":"\/58.1-534\/","token":"58.1\/I\/3\/21\/58.1-534","metadata":false},{"id":73852,"structure_id":13797,"section_number":"58.1-535","catch_line":"Application of funds on deposit","url":"\/58.1-535\/","token":"58.1\/I\/3\/21\/58.1-535","metadata":false}],"previous_section":{"id":64147,"structure_id":13797,"section_number":"58.1-525","catch_line":"Notification of intention to set off and right to hearing","url":"\/58.1-525\/","token":"58.1\/I\/3\/21\/58.1-525","metadata":false},"next_section":{"id":85890,"structure_id":13797,"section_number":"58.1-527","catch_line":"Appeals from hearings","url":"\/58.1-527\/","token":"58.1\/I\/3\/21\/58.1-527","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/58.1-526\/","history_text":"

The record of this law\u2019s original creation isn\u2019t available online. It has been modified 5 times. Those modifications are cataloged by \u201cThe Acts of Assembly,\u201d a state publication, by year and chapter. Those modifications that can be read on the General Assembly\u2019s website will be linked accordingly. Those modifications are as follows: in 1981, chapter 408; in 1982, chapter 621; in 1984, chapters 675 and 720; in 1996, chapters 363<\/a> and 413<\/a>; in 1997, chapter 496<\/a>.<\/p>","references":[{"id":85890,"section_number":"58.1-527","catch_line":"Appeals from hearings","order_by":null,"url":"\/58.1-527\/"}],"refers_to":false,"permalink":{"id":254103,"object_type":"law","relational_id":84436,"identifier":"58.1-526","token":"58.1\/I\/3\/21\/58.1-526","url":"\/58.1-526\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/58.1-526\/","token":"58.1\/I\/3\/21\/58.1-526","dublin_core":{"Title":"Hearing procedure","Type":"Text","Format":"text\/html","Identifier":"\u00a7 58.1-526","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

A.<\/span> If a claimant agency<\/span> other than the Internal Revenue Service receives written application of the debtor<\/span>’s intention to contest at a hearing<\/span> the claim upon which the intended setoff is based, it shall grant a hearing<\/span> according to procedures established by that agency under its operating statutes<\/span> to determine whether the claim is valid. Additionally, it shall be determined at the hearing<\/span> whether the claimed sum asserted as due and owing is correct, and if not, an adjustment to the claim shall be made. A debtor<\/span> of the Internal Revenue Service shall contest the claim only in accordance with federal law<\/span> and procedures. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> Pending final determination at the hearing<\/span> of the validity of the debt asserted by the claimant agency<\/span>, no action shall be taken in furtherance of collection through the setoff procedure allowed under this article. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

C.<\/span> No person hearing<\/span> the debtor<\/span>’s application contesting the claimant agency<\/span>’s claim shall have been involved in the prior circumstances which have culminated in such dispute. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

D.<\/span> No issue<\/span> may be considered at the hearing<\/span> which has been previously litigated. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

E.<\/span> In the case of setoff arising out of delinquent local taxes, the scope of the hearing<\/span> shall be limited to determining whether the setoff is a tax obligation that remains due and owing to the locality, and shall not address the underlying basis of the tax obligation. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nHEARING PROCEDURE (\u00a7 58.1-526)\n\nA. If a claimant agency other than the Internal Revenue Service receives written\napplication of the debtor’s intention to contest at a hearing the claim\nupon which the intended setoff is based, it shall grant a hearing according to\nprocedures established by that agency under its operating statutes to determine\nwhether the claim is valid. Additionally, it shall be determined at the hearing\nwhether the claimed sum asserted as due and owing is correct, and if not, an\nadjustment to the claim shall be made. A debtor of the Internal Revenue Service\nshall contest the claim only in accordance with federal law and procedures.\n\nB. Pending final determination at the hearing of the validity of the debt\nasserted by the claimant agency, no action shall be taken in furtherance of\ncollection through the setoff procedure allowed under this article.\n\nC. No person hearing the debtor’s application contesting the claimant\nagency’s claim shall have been involved in the prior circumstances which\nhave culminated in such dispute.\n\nD. No issue may be considered at the hearing which has been previously\nlitigated.\n\nE. In the case of setoff arising out of delinquent local taxes, the scope of the\nhearing shall be limited to determining whether the setoff is a tax obligation\nthat remains due and owing to the locality, and shall not address the underlying\nbasis of the tax obligation.\n\nHISTORY: Code 1950, \u00a7 58-19.13; 1981, c. 408; 1982, c. 621; 1984, cc. 675, 720;\n1996, cc. 363, 413; 1997, c. 496.","edition":{"id":1,"name":"2025","slug":"2025","date_created":"2026-06-21 22:39:22","date_modified":"2026-06-21 22:39:22","current":1,"order_by":1,"last_import":null}}