ARIZONA – Tax Rate Decreases, Taxable Wage Base Remains the Same
Tax rates for Arizona employers were announced, showing a decrease in all rate categories from 2023. Rates for positive ratio groups will range from 0.05% to 6.76% while rates for negative ratio groups will range from 7.41% to 14.03%. Zero ratio employers will be assigned a 7.02% tax rate. The new employer rate will remain at 2.00%.
The taxable wage base will remain the same at $8,000 for 2024.
DELAWARE – Employer Tax Rate Errors
The Delaware Division of Unemployment recently discovered an error in an undisclosed number of Employer Tax Rate Notifications. According to the announcement, employers who received a 5.4% or 6.5% tax rate may have been assigned the incorrect tax rate for 2024. The department is working to correct the error and will be reissuing rate notices to all employers, even if their rate did not change.
NORTH CAROLINA – Taxable Wage Base Increase
In 2024, the taxable wage base in North Carolina will increase to $31,400, up 6.1% from $29,600 in 2023.
VIRGIN ISLANDS – Tax Rates Announced
Information regarding tax rates for Virgin Islands employers was announced. According to the VDOL, the Unemployment Insurance Contribution Rate will be set at 4.11% for 2024, comprised of a 2.11% base rate and 2.0% Fund Solvency Rate. Additionally, each employer will have a Tax Rate Factor added to the Contribution Rate based on the tax rate interval ranking. Rates will range from 0.40% to 5.40%.
TAX FORM 1099-G – Unanticipated Forms May Be a Sign of Unemployment Fraud
States will soon be issuing Form 1099-G to individuals who received unemployment benefits during 2023. At this time of year, receipt of unexpected 1099-Gs often uncover unemployment fraud cases that were not previously detected.
As an employer, please report the possible identity theft issue to Thomas & Company so we can notify the state, mark the case as potential fraud, and monitor your account for erroneous charges.
Individuals who received a 1099-G and did not file a claim should take the following steps:
- Report the fraud to the State Workforce Agency and their HR department. It is more efficient and streamlined to file a fraud report online whenever possible. A complete listing of the contact information by state can be found here (UI Claimant Fraud Contacts)
- Employees should report the identity theft to the FTC at identitytheft.gov/#/unemploymentinsurance
- Employees should also report the identity theft to the IRS to help avoid paying taxes on the 1099-G income. This can be done via phone at 1-800-908-4490 or by filing an IRS Form 14039 – Identity Theft Affidavit (https://irs.gov/pub/irs-pdf/f14039.pdf)
- Contact their bank, credit card companies and all three credit reporting agencies (Experian, TransUnion, and Equifax) to place a freeze on their credit reports to further protect their identity during the investigation.
For more information about Unemployment Fraud and to find answers to commonly asked questions, please refer to our UI Fraud Support Resources at U.I. Fraud
