Sec. 17. (a) The office shall, under procedures established by the department of state revenue, file an application for the offset of state tax refunds due to a parent who:

(1) is required by a court or an administrative order to provide coverage of the costs of health services to a child who is eligible for medical assistance;

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Terms Used In Indiana Code 12-15-1-17

  • Garnishment: Generally, garnishment is a court proceeding in which a creditor asks a court to order a third party who owes money to the debtor or otherwise holds assets belonging to the debtor to turn over to the creditor any of the debtor
  • Guardian: A person legally empowered and charged with the duty of taking care of and managing the property of another person who because of age, intellect, or health, is incapable of managing his (her) own affairs.
(2) has received payment from a third party for the costs of the services to the child; and

(3) has not used the payments to reimburse, as appropriate, either the:

(A) other parent or guardian of the child; or

(B) provider of the health services;

to the extent necessary to reimburse the office, or, where the other parent has paid the provider or the office, the other parent, for the costs of the services provided to the child under the Medicaid program.

     (b) The office may institute garnishment proceedings against the wages, salary, or other employment income of the parent described in subsection (a) to the extent necessary to reimburse the office for the costs of health services provided to a child who has received the services under the Medicaid program.

     (c) Claims for current or past due child support take priority over any claims authorized by this section.

As added by P.L.46-1995, SEC.30.