Ala. Admin. Code r. 480-4-2-.17

Current through Register Vol. 43, No. 1, October 31, 2024

Section 480-4-2-.17 - Contribution Payments, Reimbursement Payments And Reports

(1) Payments of contributions or payments in lieu of contributions required under the unemployment compensation law shall be submitted by each employer with contribution reports and wage earning reports in accordance with the provisions of this rule. Payments shall be made as described in subsection (a),(b), and (c) below, under this Section (1):

(a) Acting under the provisions of Code of Ala. 1975, § 14-1-23, the Alabama Department of Industrial Relations here by establishes a requirements that payments of $25,000 or more shall be made by electronic funds transfer through the use of an Automated Clearing House debit transaction.

(b) Employers filing electronic or Interactive Voice Response System contribution and wage reports under the provisions of the Department of Industrial Relations Administrative code 480-4-2-.32 shall make payments by electronic funds transfer through the use of an Automatic Clearing House debit transaction.

(2) Payment of Contributions by Tax Paying Employer.

(a) Except as otherwise provided in sections 3-7 of this rule, contributions shall be payable for each calendar quarter with respect to wages paid during such calendar quarter for employment occurring on or after January 1, 1940.

(b) Except as otherwise provided in subsections (2)(c) through 2 (g) of this rule, quarterly contributions shall become due on or before the last day of the month next following the close of the quarter for which they are payable and shall become delinquent on the first working day of the following month.

(c) The first contribution payment of any employing unit which becomes an employer at any time during a calendar year shall become due on, and shall be paid on or before, the last day of the month next following the close of the calendar quarter in which such employing unit satisfies the conditions with respect to becoming an employer. Such payment shall include contributions which have accrued for the entire period beginning January 1 of such calendar year up to and including the calendar quarter in which the employing unit satisfies the conditions with respect to becoming an employer; provided, the first contribution payment of any employing unit which elects, with the written approval of such election by the Director, to become an employer, shall become due on, and shall be paid on or before, the last day of the month next following the close of the calendar quarter in which the conditions of becoming an employer by election are satisfied, and shall include contributions with respect to all wages paid for employment occurring on and after the date stated in such approval (as of which date such employing unit became an employer) up to and including the calendar quarter in which the conditions of becoming an employer by election are satisfied.

(d) Whenever the Director or his authorized representative has, in writing, advised an employing unit that it has been determined not to be an employer or that services for it do not constitute employment, and it is thereafter established that there did exist a legal obligation on the part of such employing unit to pay contributions, such accrued contributions shall become due with accrued interest thereon 15 days after such employing unit is informed of its liability.

(e) Whenever the Director finds that collection of contributions from a particular employer may be jeopardized because of bankruptcy or removal or other factors he may advance the due date of such employer's contributions and report to such date, succeeding the period with respect to which they have accrued, as he deems advisable.

(f) The Director may, at his discretion upon such findings or upon such request of an employer, require payment of contributions from such employer monthly rather than quarterly. Monthly contributions shall become due on, and shall be paid on or before, the tenth day of the month next following the close of the month for which they are payable.

(g) The Director may at his discretion furnish an employer written permission to pay delinquent contributions in installments. Any arrangement for payment in installments must make provision for the payment of interest on the past due delinquent contribution balances beginning with the last day of the month following the period with respect to which such contributions accrued and ending with the date on which each such installment is paid. In the event that such employer fails to pay an installment in full when it falls due, the entire unpaid balance of contributions, interest and penalty will become due including any additional interest accrued to the date of payment. No written permission for the payment of contributions in installments shall preclude subsequent collection action pursuant to Code of Ala. 1975, § 25-4-134 of the law against such employer under the provisions of subparagraph (1) (a) 4 of this rule.

(h) Payment of contributions and reports received through the mail shall be deemed to have been made and received by the Department on the date of an official U.S. Postal Service postmark. Postal meters will not substitute for official U.S. Postal Service postmark.

(3) Payment in Lieu of Contributions by Reimbursing Employers.

(a) Each non-profit reimbursing employer or group of such employers shall at the end of the calendar quarter or any other period that the Director may prescribe pay the total amount of regular benefits plus one-half of the extended benefits paid to any former employee during such quarter. Such payments shall be made within 20 calendar days after notice of billing is mailed by the Director.

(b) Each reimbursing governmental employer shall submit their computed advance payment amounts to the Director on or before the 10th day of the beginning of each calendar quarter.

(4) Filing of Quarterly Wage and Contribution Reports and Reports for Reimbursing Employers.

(a) Each employer shall not later than the due date required for the payment of contributions, file a quarterly employer's contribution and wage report for such quarter by phone (Interactive Voice Response System or internet) based upon wages paid with respect to employment within this state and computed in accordance with the Code and these rules.

1. For those nonprofit employers and state and local government employers whose payment is a reimbursement of benefits paid, the reimbursing employers' quarterly report together with the report reflecting employment and wage shall be filed with the Director on or before the due date in accordance with the instructions contained thereon. Reports shall be filed for each quarter during which the employer is subject to the law.

2. Failure to receive report forms shall not relieve the employer from the responsibility for filing required forms on or before the due date or to pay any contribution due.

3. Employer to file report even when no payroll. Every qualified or subject employer is required to send in an employer's wage and contribution or a wage report each quarter even though an employer finds that for some particular quarter no contributions are due, or they have no employees during the period covered.

4. The signature or electronic authorization of the owner, responsible officer, or authorized agent of the employer will be required certifying that the information is true and correct to the best of the signer's knowledge and belief.

5. A copy of each such report shall be preserved by each such employer for a period of 5 years from the end of the calendar year in which the quarterly report falls within.

(5) Interest prescribed by the Unemployment Compensation Law on a delinquent contribution or reimbursing payment shall be computed from and including the day following the due date up to and including the day payment is made, as shown by the date of the official U. S. Postal Service postmark thereon, if mailed. Interest shall be computed at the rate of one percent for each full month and for any period of less than one full month at the rate of one thirtieth (1/30) of one percent for each day or fraction thereof.

(6)Penalties. Failure to submit payments and reports as required in accordance with instructions thereon and as provided in the above rules shall be subject to penalties imposed under Code of Ala. 1975, §§ 25-4-53, 25-4-133 and 25-4-145 of the Law.

(7)Waiver of Interest and/or Penalties. The Director or his designees may for good reason compromise or waive anycivil penalty or interest charge arising under provisions of the law if the imposition of interest and/or penalty would be deemed to be inequitable. In the request for compromise or waiver of any interest or penalty imposed by the provisions of law, the burden shall be upon the employer to establish to the satisfaction of the Director or his designees that the imposition of interest and/or penalty would be inequitable.

(8)Application of Payments to Delinquent Accounts.

(a) When delinquency exists in the employer's account and payment in an amount less than the total amount due is submitted, the Agency shall apply the payment to the delinquency in such a manner as the employer directs.

(b) In the absence of specific directions, the Agency shall apply a partial payment in such a manner as to satisfy all contributions due first, followed by interest and then penalty.

Ala. Admin. Code r. 480-4-2-.17

Effective September 30, 1982. Amended: Filed April 10, 2008; effective May 15, 2008. Amended: Filed May 13, 2009; effective June 17, 2009.

Author: Charlotte Lackey, Unemployment Compensation Division

Statutory Authority:Code of Ala. 1975, §§ 25-2-7, 25-2-8, 25-4-50 and 25-4-111.