TaxNet Monthly Reporting Paying Unemployment Taxes
Relief for Eligible Employers from Penalties and Interest in Wage Reporting
Wage reporting helps prevent improper payments before they are issued, saves Illinois taxpayers millions of dollars each year, reduces unemployment insurance tax rates and helps fight theft in, and abuse of, benefit programs such as Medicaid and unemployment insurance. New rules in place will help employers who are now required to submit wage reports on a monthly basis. The rules will:
- Remove penalties and interest employers incurred as a result of confusion over the new electronic reporting requirement’s implementation schedule. The rule retroactively implements requirement on the same schedule as that for the monthly reporting requirement.
- Waive up to the first two quarters’ worth of penalties, along with any related interest, for late monthly reports, as long as the employer timely submitted quarterly reports.
The Department will automatically remove penalties and interest to the extent the new rules permit and can review those that do not occur automatically. Some employers will continue to see penalties and interest on their quarterly Statements of Account. Employers who have already paid penalties and interest can be credited towards future liabilities. The employer will have the right to appeal any unfavorable decision.
For more information or call the Employer Hotline at (800) 247-4984.
Employer Consequences of UI Program Violations
These violations include:
- Personal liability of corporate officers for willfully failing to make UI payments or not submitting information and reports as required.
- Increased employer UI taxes.
- Penalties for late reports and interest charges for late payments.
- Possible inspection by IDES Field Auditor.
- Time off from work to attend mandatory appeal hearings.