16 Tex. Admin. Code § 401.319 - Withholding of Child-Support Payments from Periodic Installment Payments of Lottery Winnings
(a) The executive
director shall deduct from periodic installment winnings paid to a prize winner
amounts owed by the prize winner for child support if the executive director
has been provided with:
(1) a certified copy
of a court order;
(2) a writ of
withholding issued under Chapter 158, Family Code; or
(3) notice of a child support lien created
under Subchapter G, Chapter 157, Family Code.
(b) A person, who is entitled to receive such
child support payments, may file a certified copy of a court order, or a writ
of withholding, or notice of a child support lien with the Office of the
Controller, Texas Lottery Commission, P.O. Box 16630, Austin, Texas 78761-6630.
If the recipient is not otherwise prohibited from receiving the funds, and if
the order, writ, or notice is received at least ten business days before the
date of a scheduled lottery prize installment payment, the appropriate amount
will be withheld and will be forwarded to the person who is entitled to receive
the child support payments or to the clerk of the court that issued the order
for placement in the registry of the court.
(c) The court order, writ of withholding, or
notice of a child support lien must direct child support to be paid in the
periodic payment increments as those in which the periodic lottery installment
prize is paid. The executive director will not accept a certified copy of a
court order, writ of withholding, or notice of child support lien until the
executive director determines there is a periodic installment prize payment to
which the winner is entitled.
(d)
If a person's winnings exceed the amount deducted under subsection (b) of this
section and under any other laws of the State of Texas requiring a deduction
from the winnings of a lottery winner, the executive director shall pay the
balance to the person entitled to the prize payment. The executive director
shall transfer the money deducted under subsection (b) of this section to the
clerk of the court that issued the order for placement in the registry of the
court, and any other deduction will be distributed in accordance with the laws
of the State of Texas and/or regulations of appropriate state
agencies.
(e) The Texas Lottery
Commission will keep an index of all child support obligors for which court
orders, writs of withholding, or notices of liens for child support have been
filed with the Commission during the previous 24 months, and before payments of
winnings are made, the agency will determine whether there is any amount that
must be withheld. If any winnings are withheld, the Controller will make the
appropriate distribution of the withheld amounts.
(f) If any conflicting claim exists or arises
as to funds subject to a child support withholding request, the funds to which
a conflict exists may be interpleaded into a court of competent jurisdiction,
and paid into the registry of that court for determination of right to the
funds.
(g) If prize winnings are
interpleaded into a court, that amount of the funds required to be submitted to
the United States Internal Revenue Service (IRS) will be withheld by the
Commission until a determination is made as to who is entitled to the prize
payments. When such determination is made, the withheld funds will be submitted
to the IRS, to the account of the person determined to be entitled to the
payments.
Notes
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