Md. Code Regs. 09.32.01.16

Current through Register Vol. 51, No. 12, June 14, 2024

Section 09.32.01.16 - Penalties and Interest Assessments

A. Penalties.

(1) Contribution Reports. An employing unit that fails to file a timely contribution report in the prescribed manner shall pay a penalty of $35.

(2) Employment Reports. An employing unit that fails to file a timely employment report in the prescribed manner shall pay a penalty of $35.

(3) Separation Reports. An employing unit that fails to file a timely separation report in the prescribed manner upon the Secretary's request shall pay a penalty of $15.

(4) Earnings Reports. An employing unit that fails to file a timely earnings report in the prescribed manner upon the Secretary's request shall pay a penalty of $15.

(5) An employing unit that submits a check or other negotiable instrument that is returned for insufficient funds shall pay a penalty of $25.

B. Interest on Past Due Contributions. An employing unit that fails to file a timely contribution report shall pay interest at the rate of 1 percent per month or fraction of a month until payment is received.

C. Application of Payment of Penalties and Interest. Payments made shall be applied to the amount due from the employer as follows:

(1) First, to the total amount of any penalty imposed;

(2) Next, to interest due and owing to date of payment; and

(3) Finally, to the amount of any contribution due and owing at date of payment.

D. The Secretary may waive any penalties or interest for cause, upon the employer's request or upon the Secretary's review of the penalty or interest assessed.

Md. Code Regs. 09.32.01.16

Regulation .16A and B amended effective November 23, 1992 (19:23 Md. R. 2042)