[ Status Procedures Manual - TOC ] [ Ch 1 - New Accounts ] [ Ch 2 - Changes to Accounts ] [ Ch 3 - Special Accounts ] [ Ch 4 - Other Units, Sections & Departments ] [ Ch 5 - Letters ] [ Ch 6 - Investigations & Assistance ] [ Ch 7 - Partial Transfer Applications ] [ Ch 8 - Traces ] [ Ch 9 - Special Reporting Situations ] [ Ch 10 - Account Numbers ] [ Ch 11 - Appeals Decisions and Hearings ] [ Ch 12 - Document Processing ] [ Ch 13 - Error Reports & Query List Instructions ] [ Ch 14 - Tax Performance System ] [ Ch 15 - Experience Rating Unit ] [ Ch 16 - SUTA Dumping Detection ]
[ 1.1 - STA Screen Descriptions ] [ 1.2 - FCQ Calculation ] [ 1.3 - New Accts 201.021 ] [ 1.4 - New Accts 201.022 ] [ 1.5 - New Accts 201.023 ] [ 1.6 - New Accts 201.024 ] [ 1.7 - New Accts 201.025 ] [ 1.8 - New Accts 201.026 ] [ 1.9 - New Accts 201.027 ] [ 1.10 - New Accts 201.028 & 201.047 ] [ 1.11 - New Accts Based on C-3s ] [ 1.12 - Assemble New Employer Packets ] [ 1.13 - Unemployment Tax Registration ] [ 1.14 - Liability for Indian Tribal Councils & Their Instrumentalities] [ 1.15 - C-111 Accounts]
Chapter 1: New Accounts	comments to: Tax Department

1.7 New Accounts 201.025

[ 1.7.1 - Basis for Liability ] [ 1.7.2 - Status Report ] [ 1.7.3 - STA Screen Processing ]

This section of The Act refers to the provision under which an employer can become liable if they are liable for the payment of taxes under the Federal Unemployment Tax Act (26 U.S.C. Section 3301 et seq.) This section can be applied to "Regular", "Domestic" or "Agricultural" type employment. Section 201.025 applies to taxed employers only. Never establish liability for reimbursing employers under Section 201.025 or Non-Profit 501(c)(3) employing units.

1.7.1 Basis for Liability

Liability under this section of the law is normally based on Status Reports. If liability is determined by way of a phone call, inquiring about a quarterly report, an FL-160, C-1 Request Letter, must be sent to request completion of a Status Report.

1.7.2 Status Report

If the Status report indicates they are liable to pay FUTA for the current calendar year, liability may be established. The liability date = the first employment date.

1.7.3 STA Screen Processing

To classify an account liable under section 201.025 using the STA screen:

Key	ACCT

Press	<Enter>

The record for the account will display

Key	TYP

If the federal identification number, phone number or styling need changes:

Key	FEID
	PHONE

	Line 1
	Line 2
	Line 3
	Line 4
	Line 5
	Line 6


	REG CODE => 1 DOM CODE => 2 AGR CODE => 2

Key	SECT=> 5

	SUBJ DT (first employment date)
	1ST TX WG
	1ST CHG

If the account was set up on the basis of a phone call initiated by an Employer's Quarterly Report, then send an FL-160 letter.

Key	FORM LETTER=>160

	QTR (Format is quarter & year, i.e. 108 for the 1st qtr of 2008. 108 will insert the date March 31, 2008 into the FL-160 letter.)

Key	RPTS YY

Press <Enter> to verify the first chargeable quarter.

Press <PF5> to add the record.

Note: Pressing <PF5> before pressing <Enter> will add the record without verifying the first chargeable quarter.

Texas Workforce Commission | Unemployment Tax

Last Revision: October 19, 2011

Chapter 1: New Accounts

1.7 New Accounts 201.025

1.7.1 Basis for Liability

1.7.2 Status Report

1.7.3 STA Screen Processing