288.379. Notice given to filer of claim, taxation of benefits--deducted amounts remain in trust fund until transference--division to follow procedures--order in which amounts are deducted.

Notice given to filer of claim, taxation of benefits--deducted amountsremain in trust fund until transference--division to followprocedures--order in which amounts are deducted.

288.379. 1. Beginning January 1, 1997, an individual filing a new orrenewed unemployment compensation claim shall, at the time of filing suchclaim, be advised that:

(1) Unemployment compensation is subject to federal, state and localincome tax;

(2) Requirements exist pertaining to estimated tax payments;

(3) The individual may elect to have federal income tax deducted andwithheld from the individual's payment of unemployment compensation at theamount specified in the federal Internal Revenue Code; and

(4) The individual shall be permitted to change a previously electedwithholding status.

2. Amounts deducted and withheld from unemployment compensation shallremain in the unemployment compensation trust fund until transferred to thefederal, state or local taxing authority as a payment of income tax.

3. The division shall follow all procedures specified by the UnitedStates Department of Labor and the federal Internal Revenue Servicepertaining to the deducting and withholding of income tax.

4. Amounts shall be deducted and withheld under this section onlyafter amounts are deducted and withheld for any overpayments ofunemployment compensation, child support obligations, food stampoverissuances or any other amounts required to be deducted and withheldunder this chapter.

(L. 1996 S.B. 855)