N.J. Admin. Code § 12:16-23.1

Current through Register Vol. 56, No. 24, December 18, 2024

Section 12:16-23.1 - Exempt services

(a) Persons who perform services and receive remuneration are employees under the Unemployment Compensation Law unless the services meet the Unemployment Compensation Law definition of independence set forth in N.J.S.A. 43:21-19(i)(6).

(b) The Unemployment Compensation Law lists certain categories of services as being exempt from Unemployment Compensation coverage. However, these services are exempt only if there is a corresponding exemption under the Federal Unemployment Tax Act ("FUTA") or the services are otherwise not subject to tax or coverage under FUTA.

1. If an employing unit pays remuneration for services not specifically listed as exempt under the provisions of FUTA and seeks an exemption under this section, the employing unit has the burden of proof to show that the services are either exempt under FUTA or otherwise not subject to the tax imposed by FUTA.

2. The Department will hold such class of individuals or type of service in covered employment pending receipt of proof of exemption under N.J.A.C. 12:16-23.2 below and determination of exemption.

N.J. Admin. Code § 12:16-23.1

Amended by R.2005 d.108, effective 4/4/2005.
See: 36 New Jersey Register 5651(a), 37 New Jersey Register 1030(a).
In (b), substituted "Department" for "Division of Unemployment Insurance/Disability Insurance Financing" in 2.