Tax Interception

Sundry Expenses

To recover past-due funds owed to the university, UC San Diego is participating in the State of California’s Franchise Tax Board (FTB) Interagency Intercept Collection Program.

Some common outstanding balances include but are not limited to:

• Bookstore Charges
• Library Charges
• Housing Fees
• Health Services
• Registration Fees

Outstanding balances and unpaid fees on student or employee accounts are subject to being referred to the State of California's FTB for interception of any state tax refund, lottery winnings or unclaimed property available to an individual. We will attempt to contact the responsible party for the delinquent account and notify them of their account’s submission to the program. Even if the notification is returned from the post office, the eligible delinquent account will still be subject to referral to the FTB.

Please note that submission to the FTB Interagency Intercept Collection Program does not have the same consequences as being sent to a collection agency, as the FTB referral does not get reported to the credit bureaus. Additionally, tax interceptions are not considered litigation and are not subject to a statute of limitations.*

If you have any inquiries, please contact our office. 

Loans

The borrower’s loan account becomes at risk by getting their tax refunds intercepted due to:

• Loan account is not in a pending cancellation due to death, disability pending or bankruptcy
• Loan account is not in a hardship deferment or hardship billing ‘interest only’ status
• Loan account is more than 8 months past due
• Loan account is Accelerated (defaulted)
• Loan account is placed with a Collections Agency
• Loan account does not have an updated contact information (mailing or email address)

All loans submitted to the CA Franchise Tax Board for tax interception are held by the institution, UC San Diego, and serviced by Heartland ECSI. Please note that any campus-based loans that have fallen into default status may be at risk of tax interception as they were not eligible for administrative forbearance under the CARES Act. 

*The California FTB operates an intercept program in conjunction with the State Controller's Office, collecting delinquent liabilities individuals owe to state and local agencies/colleges. FTB intercepts tax refunds, unclaimed property, and lottery winnings owed to individuals, and then redirects these funds to pay the individuals' debts to the agencies/colleges. Per California Code Sections (§12419.2, 12419.7, 12419.9, 12419.10, 12419.11, and 12419.12), the FTB authorizes the State Controller to collect funds owed to the University. These sections can be found here.

QUESTIONS?

Find answers or get help from our team by creating a tax intercept case in the UC San Diego Services & Support portal. If you do not have an AD login, email us at taxintercept@ucsd.edu (Please include your PID next to your name).