Iowa Admin. Code r. 871-23.60

Current through Register Vol. 47, No. 6, September 18, 2024

Rule 871-23.60 - Accrual of interest and penalties

(1) An employer who fails to file wages paid to each of its employees for any period in the time and manner set forth in Iowa Code section 96.7 and rule 871-22.3 (96) shall pay to the department a penalty in accordance with Iowa Code section 96.14(2).

(2) The amount of the penalty for a delinquent or insufficient quarterly contribution and payroll shall be based on the total wages paid by the employer in the period for which the report was due. The penalty shall not be less than $35 for the delinquency or the insufficient wage detail not made sufficient within 30 days of a request to do so. Insufficient wage detail is defined as a quarterly submission that does not have all social security numbers, all corresponding names, total wages for each employee, or a reporting unit number. Wage detail submitted without a correct account number, federal employer identification number, labor market information, or wage detail submitted for an unemployment account that has not yet been established by the employer or agent may be considered insufficient.

(3) Interest and penalty shall not accrue with respect to contributions required from an employer based upon wages for employment in those cases in which the employer's liability is based solely upon the provisions of Iowa Code section 96.19(16)"g" until 30 days after determination of such liability under the federal Unemployment Tax Act.

(4) Interest and penalty shall not accrue in those cases where the department finds that, as a matter of equity and good conscience, the employer should not be required to pay interest.

(5) Interest as provided under Iowa Code section 96.14 shall accrue 30 days after the quarterly billing to reimbursable employers.

(6) The penalties applicable to contributory employers shall be applicable to employers who have been approved to make payments in lieu of contributions.

(7) Payment checks not honored by bank. An employer is liable for interest for a check in payment of contributions which is not honored by the bank upon which it is drawn.

This rule is intended to implement Iowa Code section 96.14(2).

Iowa Admin. Code r. 871-23.60

ARC 8711B, IAB 5/5/10, effective 6/9/10

Amended by IAB October 11, 2017/Volume XL, Number 8, effective 11/15/2017