Charlotte, NC asked in Employment Law, Tax Law and Collections for South Carolina

Q: When does the collection of NON-fraudulent overpayment of unemployment benefits by the state stops in South Carolina?

The SC department of revenue will be garnishing my state returns on behalf of the SC dept. Of unemployment, is there a statute of limitation?

1 Lawyer Answer
D. Nathan Davis
D. Nathan Davis
Answered
  • Collections Lawyer
  • CHARLESTON, SC
  • Licensed in South Carolina

A: Whether the overpayment of unemployment benefits occurred because of fraudulent actions of the recipient may be in the eye of the Unemployment Agency. Generally, SC Code of Laws Section 41-40-10(5) states:

(5) Notwithstanding any other provision of this section, no action to enforce recovery or recoupment of any overpayment may begin after five years from the date of the final determination for nonfraudulent overpayments nor after eight years from the date of the final determination for fraudulent overpayments.

First, there must be a final determination and then the time period to collect the money will begin to run.

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