Working in Idaho
Idaho is First State to Agree to Share Unemployment Insurance Info
By J. Gelband, 11-16-07
Idaho has ranked well nationally with unemployment over the last few years with very low numbers of unemployed residents. So it seems fitting that Idaho has just become the first state in the nation to sign an agreement with the Internal Revenue Service to share unemployment insurance information in a campaign to improve compliance with unemployment tax laws.
The IRS developed the Questionable Employment Tax Practices agreement with the U.S. Department of Labor, the National Association of State Workforce Agencies, the Federation of Tax Administrators. Signed Nov. 6, it allows state and federal agents to exchange information of employment tax accounts through a centralized and uniform process.
Interestingly, labor department compliance officers identified some schemes in the unemployment insurance program: Just from mid-2005 through mid-2007, officers found more than $7.2 million in fraudulent benefit payments and millions of dollars in unpaid taxes, which combined carry millions in penalties.
This new multi-agency agreement is designed to minimize fraudulent filings, intentional misclassifications and other tax issues and to ensure that all businesses are sharing equally in supporting the unemployment insurance system.
It doesnt stop there. The Idaho labor department is apparently trying to update the entire unemployment insurance program; it has also enacted a plan to maximize available resources by merging unemployment benefit and employer tax compliance inquiries.
Like this story? Get more! Sign up for our free newsletters.
Comments