Current through Register Vol. 47, No. 17, September 10, 2024
1. Individuals
electing coverage may elect coverage under C.R.S. §
8-13.3-514 for an initial period of
coverage of three years.
A. The individual
electing coverage must create a My FAMLI+ Employer account and must submit
their notice of election of coverage via My FAMLI+ Employer. For self-employed
individuals, the notice of election must include a copy of their most recent
tax transcript, and no communication from a self-employed individual will
constitute a notice of election without it.
B. Elective coverage becomes effective on:
1. The date of filing the notice of election;
or
2. If the individual so chooses,
the first day of one of the five most recent closed calendar
quarters.
C. A period of
coverage is defined as:
1. The three years
following the first day of elective coverage or any gap in coverage;
and
2. Each subsequent
year.
D. Any individual
electing coverage may file a notice of withdrawal within thirty calendar days
after the end of a period of coverage.
E. The notice of withdrawal must include an
effective date of the withdrawal, which must be no sooner than thirty days
after the filing of the notice of withdrawal.
F. A notice of withdrawal from coverage must
be submitted to the Division online or in another format approved by the
Division.
G. Upon termination of
coverage, due and unpaid premiums must be paid, as well as any interest or
fines assessed.
2.
Provisions specific to self-employed individuals electing coverage:
A. When the Division receives a completed
notice of election from a self-employed individual, it will review the tax
transcript to confirm gross income from self-employment.
B. If the tax transcript includes gross
income from self-employment:
1. The Division
will presume that the tax transcript reflects four quarters of gross income
from self-employment.
2. The
Division will determine prospective quarterly gross income from self-employment
by dividing the tax transcript's total gross income from self-employment by
four.
3. If the individual submits
evidence sufficient for the Division to conclude that the tax transcript
reflects fewer than four quarters of gross income from self-employment, the
Division will adjust its calculation accordingly in order to determine
prospective quarterly gross income from self-employment. For example, if the
Division concludes that an individual's tax transcript reflects only two
quarters of gross income from self-employment, then the Division will determine
prospective quarterly gross income from self-employment by dividing the tax
transcript's total gross income from self-employment by two.
4. The individual's premium liability and
wage replacement benefits will be based on the prospective quarterly gross
income from self-employment until the individual submits subsequent tax
transcripts in accordance with these rules, at which point the Division will
make any necessary adjustments to prior premium liability and wage replacement
benefits, and will recalculate prospective quarterly gross income from
self-employment for the following year.
C. If the tax transcript does not include
gross income from self-employment, then the individual's premium liability and
wage replacement benefits will be based on actual gross income reported
quarterly in accordance with these rules. The individual must submit invoices,
payment records, and bank records to verify actual gross income reported. After
the individual submits subsequent tax transcripts in accordance with these
rules, the individual's premium liability and wage replacement benefits will be
based on prospective gross income from self-employment, calculated by the
Division in accordance with these rules.
D. In addition to the tax transcript required
in the notice of election, a self-employed individual electing coverage must
annually submit to the Division a tax transcript by June 1 or within fourteen
(14) days after filing their income tax return with the IRS, whichever is
later. The Division may accept a tax transcript outside of these timeframes
upon a showing of good cause by a self-employed individual.
3. All individuals electing
coverage must report wages and remit premium payments no later than the last
day of the month immediately following the end of the calendar quarter for
which the premiums have accrued. The Division may require additional
information or documentation from any individual electing coverage when such
information is necessary to accurately calculate and administer premiums
obligations and benefit entitlements.