Nev. Admin. Code § 612.290 - Transfers of experience record: Effects of and restriction on completion; protest and appeal of determination of Division
1. When a total transfer
of an experience record has been completed:
(a)
Payrolls, contributions paid and benefit charges must be transferred to and be a
part of the experience record of the successor. Benefits paid, based on the payrolls
of the predecessor, must then be charged to the experience record of the successor.
If a claimant for unemployment benefits has been paid wages for the base period by
the predecessor employer, the wages shall be deemed to have been paid by the
successor employer.
(b) The predecessor,
as a transferring employer, may not retain the rate previously determined for him or
her but will be classed as a new employer with respect to any employment after the
date of the completed transfer.
2. The contribution rate for a successor who
qualifies for the transfer of an experience record for the period beginning with the
date of the transfer and ending with the next effective date of contribution rates
is:
(a) The contribution rate applicable to the
transferring employer with respect to the period immediately preceding the date of
the transfer if:
(1) The acquiring employer was
not, before the transfer, a subject employer; and
(2) Only one transferring employer, or only
transferring employers having identical rates, are involved;
(b) A new rate, computed on the experience of the
transferring employer or, in the case of a partial transfer, the experience
attributable to the part of the business transferred, combined with the experience
of the acquiring employer as of the regular computation date for the rate period in
which the transfer occurs; or
(c) The
rate of contribution for a newly subject employer. A computation for a contribution
rate must be made in all transfers involving a severable and distinct portion of an
organization, trade or business.
3. No transfer of an experience record and rate
will be completed if the Administrator determines that an acquisition or change of
all or part of a business organization was effected solely or primarily to obtain a
more favorable contribution rate. A notice of the determination of the Administrator
pursuant to this subsection may be electronically transmitted, in addition to being
mailed. In determining whether an acquisition was primarily for the purpose of
obtaining a lower rate of contributions, the Administrator will use objective
factors which may include, without limitation:
(a)
The cost of acquiring the business;
(b)
Whether the acquiring person continued the business enterprise of the acquired
business;
(c) How long the business
enterprise was continued; and
(d)
Whether a substantial number of new employees were hired for performance of duties
unrelated to the business activity conducted before the acquisition.
4. A protest to the determination of
the Division with respect to transfers must be filed not later than 15 days after
the date the notice of the determination is mailed. An appeal may be filed within 11
days after the date a determination, based on the protest, is mailed by the
Division.
Notes
NRS 612.220, 612.250, 612.550 and 612.732
State regulations are updated quarterly; we currently have two versions available. Below is a comparison between our most recent version and the prior quarterly release. More comparison features will be added as we have more versions to compare.
1. When a total transfer of an experience record has been completed:
(a) Payrolls, contributions paid and benefit charges must be transferred to and be a part of the experience record of the successor. Benefits paid, based on the payrolls of the predecessor, must then be charged to the experience record of the successor. If a claimant for unemployment benefits has been paid wages for the base period by the predecessor employer, the wages shall be deemed to have been paid by the successor employer.
(b) The predecessor, as a transferring employer, may not retain the rate previously determined for him or her but will be classed as a new employer with respect to any employment after the date of the completed transfer.
2. The contribution rate for a successor who qualifies for the transfer of an experience record for the period beginning with the date of the transfer and ending with the next effective date of contribution rates is:
(a) The contribution rate applicable to the transferring employer with respect to the period immediately preceding the date of the transfer if:
(1) The acquiring employer was not, before the transfer, a subject employer; and
(2) Only one transferring employer, or only transferring employers having identical rates, are involved;
(b) A new rate, computed on the experience of the transferring employer or, in the case of a partial transfer, the experience attributable to the part of the business transferred, combined with the experience of the acquiring employer as of the regular computation date for the rate period in which the transfer occurs; or
(c) The rate of contribution for a newly subject employer. A computation for a contribution rate must be made in all transfers involving a severable and distinct portion of an organization, trade or business.
3. No transfer of an experience record and rate will be completed if the Administrator determines that an acquisition or change of all or part of a business organization was effected solely or primarily to obtain a more favorable contribution rate. A notice of the determination of the Administrator pursuant to this subsection may be electronically transmitted, in addition to being mailed. In determining whether an acquisition was primarily for the purpose of obtaining a lower rate of contributions, the Administrator will use objective factors which may include, without limitation:
(a) The cost of acquiring the business;
(b) Whether the acquiring person continued the business enterprise of the acquired business;
(c) How long the business enterprise was continued; and
(d) Whether a substantial number of new employees were hired for performance of duties unrelated to the business activity conducted before the acquisition.
4. A protest to the determination of the Division with respect to transfers must be filed not later than 15 days after the date the notice of the determination is mailed. An appeal may be filed within 11 days after the date a determination, based on the protest, is mailed by the Division.
Notes
NRS 612.220, 612.250, 612.550 and 612.732