S.C. Code Ann. In 1988, the General Assembly enacted the Setoff Debt Collection Act. Pursuant to that act, whenever a delinquent debt is owed a claimant agency, the agency can seek payment by requesting a setoff against the debtor's income tax refund. The question posed here is whether a county must first attempt to collect property taxes through seizure and sale before proceeding under the provisions of the Setoff Debt Collection Act.
Statutory language indicates the seizures and sale of property for delinquent taxes are required.
The accomplishment of these tasks results in the seizure of the property that is to be sold for delinquent taxes. On the other hand, the Setoff Debt Collection Act has no similar mandatory language. A county must first attempt to collect delinquent property taxes pursuant to S.C. Code Ann. That act instituted a comprehensive system whereby property taxes were levied and collected throughout the state. Much of that system remains in effect.