Iowa businesses paying more state fees for failing to register

DES MOINES — A state agency estimates it will collect $1.6 million new fees from procrastinators or from people trying to avoid paying the taxes to pay unemployment benefits.

Iowa Workforce Development will levy a $500 fine to Iowa businesses that fail to properly register as an employer. Officials estimate 3,200 business owners will try to skip registering, to avoid paying unemployment taxes, or they’ll fail to meet the quarterly registration deadlines.

In addition, the agency has the go-ahead from lawmakers to assess a $200 fine to businesses that send in their registration paperwork through the mail. The legislative committee that reviews state government rules was briefed on these new fees Tuesday.

All Iowa businesses are required to pay unemployment taxes electronically.

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