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Am I responsible?

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sunshine12562

Junior Member
What is the name of your state? Texas
Posted in Tax Law with no answer.......thought someone here could help.
I own a small dog grooming shop. I do not pay unemployment taxes as I am the only 'employee'. I did let a lady help me for 1 month (just to help her out until she could find something else). She had recently quit her job of 15 yrs. with a large corporation. There was not enough business for me to be able to let her keep working. If she files for unemployment, am I responsible?
 


cbg

I'm a Northern Girl
If she only worked for you for a month, any responsibility you had would be minimal. While I am not an expert on TX unemployment compensation, I do know that her base period will be the last four calendar QUARTERS. What you paid her will be only a small fraction of that.

If she quit her last job, chances are she will not be eligible for unemployment in any case. In the vast majority of situations, if you quit you do not get unemployment.
 

pattytx

Senior Member
Everything cbg said is correct. But there's more. If she files for unemployment stating you as her last employer, the state will contact you wanting to know why you did not report any wages for her. The UI tax you would have paid on her wages would have been minimal. However, the TWC will then probably require you to apply for a UI account number, file the return as it should have been filed, and pay the tax, plus penalty and interest.

This also brings up the question....did you withhold any income tax/FICA/Medicare from her checks? Not doing this would be a violation of IRS laws aslo.
 

cbg

I'm a Northern Girl
On the other hand, if she has any brains, she's not going to go claiming unemployment for a job in which she received cash under the table.
 

BelizeBreeze

Senior Member
cbg said:
On the other hand, if she has any brains, she's not going to go claiming unemployment for a job in which she received cash under the table.
Want to bet? This is Texas after all. You know, idiot George country..... :eek:
 

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