A bill

 

TO AMEND THE SOUTH CAROLINA CODE OF LAWS BY AMENDING SECTION 41-31-5, RELATING TO THE CALCULATION OF THE UNEMPLOYMENT INSURANCE TAX RATE BENEFIT RATIO, SO AS TO LENGTHEN THE LOOKBACK PERIOD TO COMPUTE THE BENEFIT RATIO BY EXPANDING TO FOUR YEARS IN 2027 AND FIVE YEARS IN 2028.

 

Be it enacted by the General Assembly of the State of South Carolina:

 

SECTION 1.  Section 41-31-5(1) of the S.C. Code is amended to read:

 

    (1) "Benefit ratio" means:

       (a) for the period of January 1, 2011, through December 31, 2013, the number calculated by dividing the sum of all benefits charged to an employer during the forty calendar quarters immediately preceding the calculation date by the sum of the employer's taxable payroll for the same period. If fewer than forty but more than one calendar quarter of data are available, the data from those available calendar quarters shall be used in the calculation. The benefit ratio must be calculated annually using data for quarters filed through June thirtieth of the current year to the sixth decimal place;

       (b) from January 1, 2014, through tax year 2026, the number calculated by dividing the sum of all benefits charged to an employer during the twelve calendar quarters immediately preceding the calculation date by the sum of the employer's taxable payroll for the same period. If fewer than twelve but more than one calendar quarters of data are available, the data from those available calendar quarters shall be used in the calculation. The benefit ratio must be calculated annually using data for quarters filed through June thirtieth of the current year to the sixth decimal place.;

       (c) for tax year 2027, the number calculated by dividing the sum of all benefits charged to an employer during the sixteen calendar quarters immediately preceding the calculation date by the sum of the employer's taxable payroll for the same period. If fewer than sixteen but more than one calendar quarters of data are available, the data from those available calendar quarters shall be used in the calculation. The benefit ratio must be calculated annually using data for quarters filed through June thirtieth of the current year to the sixth decimal place;

       (d) from tax year 2028, the number calculated by dividing the sum of all benefits charged to an employer during the twenty calendar quarters immediately preceding the calculation date by the sum of the employer's taxable payroll for the same period. If fewer than twenty but more than one calendar quarters of data are available, the data from those available calendar quarters shall be used in the calculation. The benefit ratio must be calculated annually using data for quarters filed through June thirtieth of the current year to the sixth decimal place.

 

SECTION 2.  This act takes effect upon approval by the Governor.

----XX----