Section 2760.120  Employer's Contribution Report

a)         Each quarter the agency shall provide each employer subject to the Unemployment Insurance Act, including employers electing to make payments in lieu of paying contributions under Sections 1404, 1405 or 302 of the Act [820 ILCS 405/1404, 1405, 302], with a preprinted packet which includes a form, "Employer's Contribution and Wage Report", or with respect to employers subject to Section 2760.140, a form "Quarterly Electro-Magnetic Filing Notice", in part, for filing its quarterly unemployment insurance contribution report.  Subject to the provisions of Section 2760.140 of this Part, unless the employer was held subject to the Act within the one year period prior to the due date of this form and had not yet been assigned an Illinois account number, the employer must use the left side of the preprinted form provided for filing its report.  Except as provided in the previous sentence, the use of a blank (not preprinted for the employer) form will be considered an incomplete submission and be returned to the employer for resubmission.  Replacement preprinted forms are available upon request (see Section 2760.125(a)(4) for extensions of the time for filing).

1)         In the event that an employer files a petition in bankruptcy under the Bankruptcy Code (Title 11, U.S.C.), the employer shall file two "Employer's Contribution and Wage Reports" for the quarter in which the petition is filed. One report shall address the period beginning on the first day of the quarter to, and including, the day prior to the date of the filing of the petition. The other report shall address the period beginning on the date of the filing of the petition to, and including, the last day of the calendar quarter.

            Example:  Corporation A files a petition in bankruptcy on August 15, 1994. Corporation A is required to file two "Employer's Contribution and Wage Reports" for the third quarter of 1994, both due October 31, 1994.  One will cover the period to and including August 14, 1994, and Corporation A will calculate contributions due for that period.  The other report will cover the period beginning August 15, 1994, to and including September 30, 1994, and will reflect the contributions due for that period.

2)         In the event that an employer transfers substantially all of its employing enterprises to another employing unit but continues to be a liable employer, the employer shall file two "Employer's Contribution and Wage Reports" for the calendar quarter in which the transfer occurs.  One report shall address the period beginning on the first day of the quarter to, and including, the date of transfer.  The other report shall address the period beginning on the first day after the date of transfer to, and including, the last day of the calendar quarter.

            Example:  On August 15, 1994, Corporation A, which owns a retail establishment, the XYZ Store, sells the entire business, except the name "XYZ Store" to Corporation B.  The officers of Corporation A continue to perform services and are paid wages after the transfer.  Corporation A is required to file two "Employer's Contribution and Wage Reports" for the third quarter of 1994, both due October 31, 1994.  One will cover the period to, and including, August 15, 1994, and Corporation A will calculate contributions due for that period.  The other report will cover the period beginning August 16, 1994, to and including September 30, 1994, and will reflect the contributions due for that period.

3)         The employer may obtain a second imprinted "Employer's Contribution and Wage Report" form upon request (see Section 2760.125(a)(4) for extensions of time for filing).

4)         In the event the employer files only one report for a quarter for which two reports are required under subsection (a)(1) or (a)(2) of this Section and provides the total and taxable wages for the entire quarter in the report, the report will be deemed to be insufficient as provided in Section 1402.  The employer must file within 30 days after the mailing of a notice to it of insufficiency, the two reports as required in either subsection (a)(1) or (a)(2) of this Section as applicable, or the penalties provided in Section 1402 shall apply.

5)         Except as otherwise provided in this subsection, the penalties provided for in Section 1402 of the Act regarding each report required under subsection (a)(1) or (a)(2) of this Section shall be calculated on the basis of the total wages paid and contributions due for the period to which that report applies.  Regardless of whether the employer fails to timely file one or both of the reports, the total penalty for such failure shall not exceed $5,000 and the minimum penalty for such failure shall be $50.00.  The minimum penalty for willful failure to pay any contribution, or part thereof, with intent to defraud the Director, shall be $400, regardless of whether the employer fails to make such payment for both or only one of the periods.

            Example:  An employer timely files his report representing the part of the quarter prior to the date of filing of the petition in bankruptcy.  He is late in filing his report for the part of the quarter including the date the petition is filed.  The penalty will be calculated only on the amount of wages paid as reflected in the report for the period including the date the petition in bankruptcy is filed.

b)         In addition to the identifying information on the "Employer's Contribution and Wage Report", the employer must provide the total wages paid during the quarter, the taxable wages paid during the quarter and the number of employees during the pay period which includes the 12th day of each month of that quarter.  For purposes of this subsection, where an employer is required to file two reports pursuant to subsection (a)(1) or (a)(2) of this Section, "quarter" shall mean the period required to be addressed by the report.

(Source:  Amended at 18 Ill. Reg. 14942, effective September 27, 1994)