The Comptroller’s Debt Setoff (CDS) Program intercepts vendor payments to offset debts owed by vendors to State agencies.
The State provides agencies with the tax-id number for vendors with debts to the Commonwealth. William & Mary is required to reduce a vendor payment by the Debt Set Off amount and remit the payment to the Department of Taxation.
The Department of Taxation verifies the Debt Set Off amount for the university prior to payment being issued. Three payment instances may occur:
(1) Partial payment is taken, vendor will receive the remaining balance. The ACH or Check remittance will indicate the amount taken for the debt owed.
(2) Full amount of payment is taken, vendor will not receive any amount of the payment.
(3) None of the payment is taken, vendor will receive the full amount of the payment.
The AP office will always mail a letter to the vendor indicating any amount intercepted by Debt Set Off. A vendor with questions about Debt Set Off must contact the Department of Taxation customer service line at 804-367-8031. W&M staff are not able to provide information to the vendor (taxpayer) about any money owed to the Commonwealth of Virginia.