NC S1188

Expands the definition of "account receivable" to explicitly include taxes, allowing tax debts to be collected through the statewide accounts receivable program.

Modifies the setoff debt collection program under G.S. 147-86.25 to include both accounts receivable submitted under Chapter 105A and overdue tax debts as defined in G.S. 105-243.1.

Authorizes the Department of Revenue to submit taxpayer debt information to financial institutions on a quarterly or more frequent basis to identify and garnish intangible property held by taxpayers, with the State reimbursing the financial institutions for their costs.

Establishes an electronic notice procedure for garnishment, allowing the Department to send garnishment notices by electronic means with prior agreement from the garnishee, and sets different compliance timelines (20 days for financial institutions, 30 days for others).

Amends the Setoff Debt Collection Act to expand the definition of "debtor" and "refund" to include all persons and all tax refunds, and adds community colleges as "state agencies" eligible to participate in the setoff program.