Offset of Payments to a Vendor

A vendor is an individual or business that provides goods or services to the state.

The Minnesota Department of Revenue may offset (take) state payments made to a vendor and apply them to a debt we are collecting from that vendor. (See Minnesota Statute 270C.65.)

We cannot take payments if the vendor: 

• Is appealing the debt
• Is in bankruptcy
• Has a payment agreement with us

We will stop offsetting state payments when a vendor: 

• Enters into a payment agreement with us
• Pays their debts in full or has a credit balance due to overpayment
• Files bankruptcy