Montana Code 39-51-1301. Penalty and interest on past-due reports and payments
39-51-1301. Penalty and interest on past-due reports and payments. (1) Failure to file reports and make payments in a timely manner, as required under 39-51-404, 39-51-603, 39-51-1103, and 39-51-1125, may subject an employer to penalty and interest, as provided in subsection (2).
Terms Used In Montana Code 39-51-1301
- Benefits: means the money payments payable to an individual, as provided in this chapter, with respect to the individual's unemployment. See Montana Code 39-51-201
- Department: means the department of labor and industry provided for in Title 2, chapter 15, part 17. See Montana Code 39-51-201
- Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
- Fund: means the unemployment insurance fund established by this chapter to which all contributions and payments in lieu of contributions must be paid and from which all benefits provided under this chapter must be paid. See Montana Code 39-51-201
- Subpoena: A command to a witness to appear and give testimony.
- Taxes: means contributions and assessments required under this chapter but does not include penalties or interest for past-due or unpaid contributions or assessments. See Montana Code 39-51-201
(2)The department may assess penalties and interest under this section as follows:
(a)a penalty of $25 for the failure to file reports or make payments in a timely manner;
(b)in addition to the late penalty provided in subsection (2)(a), a penalty of $50 if the department issues a subpoena or makes a summary or jeopardy assessment, as provided in 39-51-1302, as the result of an employer’s refusal or failure to provide requested information;
(c)in addition to the penalties in subsections (2)(a) and (2)(b), a penalty of $100 for failure to comply with a subpoena; and
(d)interest at the rate of 1.5% a month on any amounts owed to the department under this subsection (2) that are not paid in a timely manner.
(3)The department may waive all or any portion of any penalties and interest assessed under subsection (2).
(4)There is an account in the federal special revenue fund. Penalties and interest collected for unemployment insurance obligations must be deposited in that account. Money deposited in that account and appropriated to the department may be used by the department only to administer this chapter, including the detection and collection of unpaid taxes and overpayments of benefits to the extent that federal grant revenue is less than amounts appropriated for this purpose. Money in the account not appropriated for these purposes must be transferred by the department to the unemployment insurance trust fund at the end of each fiscal year.
(5)All money accruing to the unemployment insurance trust fund from interest and penalties collected on past-due unemployment insurance taxes must be used solely for the payment of unemployment insurance benefits and may not be used for any other purpose.