Section 657.035 - Employment; effect of place of performance of service(1) The term "employment" includes an individual's entire service, performed within, or both within and without, this state if: (a) The service is localized in this state; or(b) The service is not localized in any state, and such service is not covered under the unemployment compensation law of any other state, the Virgin Islands or Canada, and (A) The base of operations is in this state, or if there is no base of operations, then the place from which the service is directed or controlled is in this state, or(B) The base of operations or place from which such service is directed or controlled is not in any state in which some part of the service is performed but the individual's residence is in this state.(2) Service performed within this state but not covered under subsection (1) of this section is employment subject to this chapter if taxes are not required and paid with respect to such services under an unemployment insurance law of any other state or of the federal government.(3) Services not covered under subsection (1) of this section, and performed entirely without this state, with respect to no part of which taxes are required and paid under an unemployment insurance law of any other state or of the federal government, are employment subject to this chapter if the Director of the Employment Department approves the election of the employer for whom such services are performed that the entire service of such individual shall be employment subject to this chapter. Such an election may be canceled by the employer by filing a written notice with the director between January 1 and January 15 of any year stating the desire of the employer to cancel such election or at any time by submitting to the director satisfactory proof that the services designated in such election are covered by an unemployment insurance law of another state or of the federal government.(4) Service is localized within this state if:(a) The service is performed entirely within this state; or(b) The service is performed both within and without this state, but the service performed without the state is incidental to the individual's service within the state.(5) Employment shall include the service of an individual who is a citizen of the United States, performed outside the United States (except in Canada or the Virgin Islands), in the employ of an American employer (other than service which is "employment" under the provisions of subsection (1) of this section or the parallel provisions of another state's law), if:(a) The employer's principal place of business in the United States is located in this state; or(b) The employer has no place of business in the United States, but(A) The employer is an individual who is a resident of this state; or(B) The employer is a corporation which is organized under the laws of this state; or(C) The employer is a partnership or a trust and the number of the partners or trustees who are residents of this state is greater than the number who are residents of any one other state; or(c) None of the criteria of paragraphs (a) and (b) of this subsection is met but the employer has elected coverage in this state or, the employer having failed to elect coverage in any state, the individual has filed a claim for benefits, based on such service, under the law of this state.(6) An "American employer" for purposes of this section means a person who is:(a) An individual who is a resident of the United States; or(b) A partnership if two-thirds or more of the partners are residents of the United States; or(c) A trust, if all of the trustees are residents of the United States; or(d) A corporation organized under the laws of the United States or of any state.(7) For the purposes of this section the term United States includes the states, the District of Columbia, and the Commonwealth of Puerto Rico. Amended by 1971 c.463 §6; 1973 c.300 §2; 1977 c.295 §2