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Tax Law (Questions About Taxes)/Overpaid Unemployment tax

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Question
As a single member LLC for year 1 of existence, I took on a licneced CPA partner who informed me that we as employees of the legal entity could collect unemployment insurance. I reluctantly agreed and we paid into the system for about 2 years.  Can we get a refund of the money paid into the unemployment system?

Answer
Mark:

Yes you can file to have you and your partners (members) wages removed.  You may need to contact your local tax enforcement office (Employers Accounts) to have one of them to assist your filing to have the wages removed this will in effect remove the tax liability and if you have no other workers get your account set up in error code.  You will need to do the same for the Federal Unemployment (FUTA) return 940 form.

John

Tax Law (Questions About Taxes)

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John L. Tidwell

Expertise

Unemployment tax law both state and federal; determination of employer employee relationship; the usual 20 commonlaw factors for making that determination; and what makes me a liable employer.

Experience

Over 20 years of field audit experience with a state agency

Organizations
none

Publications
none

Education/Credentials
Degree in Accounting from Falls Business College

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