South Carolina Code of Regulations
Chapter 47 - DEPARTMENT OF EMPLOYMENT AND WORKFORCE
Article 2 - GENERAL REGULATIONS
Section 47-39 - Joint Account
Universal Citation: SC Code Regs 47-39
Current through Register Vol. 48, No. 3, March 22, 2024
A. Two or more "employers" as defined in Section 41-27-200, South Carolina Code of Laws, 1976, as amended, in the same or a related trade, occupation, profession, or enterprise, or having a common financial interest, hereinafter referred to as an "Employer Group," may enter into an agreement with the Department to establish a joint experience rating account as provided in Section 41-31-20; subject to the provisions of Article 1 of Chapter 31 of Title 41 of the 1976 Code--Rates of Contribution; shall be treated as a separate employer account and subject to the following provisions:
1. A
joint account may not be established for a period of less than five (5) years
beginning with the first day of the calendar year in which such application for
the establishment of such account is approved by the Department.
2. The contribution rate for an "employer
group" shall be computed as of June 30 or December 31 based upon the date of
approval by the Department. Approvals between January 1 and June 30 will be
computed as of June 30; approvals between July 1 and December 31 will be
computed as of December 31. This rate will be applicable for the subsequent tax
year. Such computation shall be based upon the aggregate experience rating of
all the members of the group for the applicable rate computation time
period.
3. No "employer" may become
a member of an "employer group" until such employer has satisfied the provision
of Section
41-31-40
( twelve (12) months of accomplished liability ).
4. Separate accounts shall be maintained for
each employer in an "employer group" for identification, with such separate
accounts being combined only for the purpose of establishing a joint experience
rate.
5. No "employer group" shall
have a reduced contribution rate when an execution for unpaid contributions is
outstanding against one or more members of the "employer group."
6. If a member of an "employer group"
acquires the business of an employer, the experience of the predecessor
employer shall be transferred to the separate account of the acquiring
employer. The provision of Section
41-31-100
or Section
41-31-110
as applicable shall apply to the "employer group" in accord with Sub-Item
thereof.
7. All members of an
"employer group" shall remain members until the dissolution thereof. This
provision shall also apply to a successor who acquires the business of a member
of an "employer group," provided however, if for any reason the business of a
member of an "employer group" is discontinued, or if the liability of a member
is terminated in accord with Chapter 37 of Title 41 of the 1976 Code, the
experience in the account of the discontinued business shall remain a part of
the experience of the "employer group" until the next rate
computation.
8. An "employer group"
may be dissolved and the joint account distributed in accord with Section
41-31-120
on the next regular computation date:
a. by 50
per cent or more of the employers in the "employer group" each of which has at
least five (5) percent of the total wages on the date of the
dissolution.
b. Each member of the
"employer group" thus dissolved will be considered for the purposes of Section
41-31-120
as the successor to his own business and the employer group will be treated as
the predecessor.
c. In the event
the experience of any member of the "employer group" was retained as a part of
the experience of the "employer group" upon the discontinuance of business or
termination of liability in accord with Chapter 37 of Title 41 of the 1976
Code, the experience account of such an employer upon dissolution of the group:
i. will be inactivated if the employer ceased
to do business;
ii. will be
canceled if the employer terminated liability.
9. Each member of an "employer group" will be
responsible for keeping the records and filing the reports required by the
Department with respect to individuals in its employment. Every member of the
"employer group" shall be liable individually or collectively for all past due
penalties, contributions, and interest of any member and shall be subject to
the provisions of Article 3 of Chapter 31 of Title 41 of the 1976
Code.
10. Benefits paid, chargeable
to a member of an "employer group" shall be used in computing the experience
rate of the "employer group;" however, only the employer to whom benefits are
chargeable shall have the right of appeal in accord with the appeals provisions
in Article 5 of Chapter 35 of Title 41 of the 1976 Code.
11. No provision in Section
41-31-20 or
in this regulation issued pursuant thereto shall be construed as giving any
member of an "employer group" any authority over the operation of another
member with respect to the administration of the joint "employer group"
account.
Disclaimer: These regulations may not be the most recent version. South Carolina may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
This site is protected by reCAPTCHA and the Google
Privacy Policy and
Terms of Service apply.