When someone files for unemployment benefits in Missouri, they are told that the money they receive counts as income and may be taxed by the government. The person can choose to have federal income tax automatically taken out of their payments, and they can change that choice later. Any money held back for taxes stays in a special fund until it is sent to the right tax agency. If a person owes back money for things like overpaid benefits or child support, those amounts are taken out first before any tax withholding happens.
288.379. Notice given to of , taxation of benefits — deducted amounts remain until transference — to follow procedures — in which amounts are deducted. — 1. Beginning January 1, 1997, an individual a new or renewed shall, at the time of filing such claim, be advised that:
(1) is subject to federal, state and local income tax;
(2) Requirements exist pertaining to ;
(3) The individual may elect to have federal income tax deducted and withheld from the individual's payment of unemployment compensation at the amount specified in the federal Internal Revenue Code; and
(4) The individual shall be permitted to change a previously elected status.
2. Amounts deducted and withheld from unemployment compensation shall remain in the until transferred to the federal, state or local taxing as a payment of income tax.
3. The division shall follow all procedures specified by the United States of Labor and the federal Internal Revenue pertaining to the deducting and tax.
4. Amounts shall be deducted and withheld under this section only after amounts are deducted and withheld for any overpayments of unemployment compensation, child , or any other amounts required to be deducted and withheld under this chapter.
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Source & history notes
(L. 1996 S.B. 855)
Related Missouri laws
Void agreements
RSMo 288.380
Collection of benefits paid when claimant later determined ineligible or awarded back pay
RSMo 288.381
Uncollectible benefit overpayments, how determined
RSMo 288.382
Discharge for testifying prohibited, civil action for damages, statute of limitations
RSMo 288.375
Law does not confer vested rights
RSMo 288.370
State to comply with minimum standards prescribed by federal law
RSMo 288.390
Legal information, not legal advice. Always confirm with the official source at revisor.mo.gov.