House panel favors jobless-tax proposal

A bill designed to stop a maneuver used by some businesses to delay paying unemployment taxes cleared a House committee on Thursday.

Under Senate Bill 303, a report used to calculate the taxes owed will be considered late if it initially shows that no wages were paid during a quarter and is then amended more than 20 days after the deadline to show wages that were paid.

Pamela Vance, assistant director for unemployment insurance at the state Department of Workforce Services, said some firms routinely submit forms on behalf of large employers showing no wages were paid, and then later file amendments, to avoid a penalty for late payments.

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Sponsored by Sen. Kim Hammer, R-Benton, and Rep. Robin Lundstrum, R-Elm Springs, the bill passed 34-0 in the Senate on Tuesday and cleared the House Committee on Public Health, Welfare and Labor in a voice vote on Thursday. It next goes to the full House.

-- Andy Davis

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