1.1.G.10 Garnishee debtor, garnishee notice
Usage
These definitions apply to all FA payments.
Definition: garnishee debtor
A garnishee debtor is a third party who owes money to a debtor or is holding money for a debtor and receives a garnishee notice to pay the amount owed by the debtor to the Commonwealth.
Definition: garnishee notice
A garnishee notice is a legal written notice given to a third party who:
- owes money to a debtor (1.1.D.60), or
- is holding money for a debtor.
If a debt to the Commonwealth is recoverable, the Secretary may serve a garnishee notice to this third party requiring them to pay the debt owed to the Commonwealth.
Act reference: FA(Admin)Act section 89 Garnishee notice
Policy reference: FA Guide 7.2.7 Debt recovery by garnishee