Section 206.004 - Termination of Coverage(a) An employing unit may cease to be an employer only on January 1 of a year and only if the commission finds that:(1) the employing unit was not an employer during the preceding year; or(2) the employing unit has not had any individuals in employment during the preceding three calendar years.(b) The commission may not make a finding under Subsection (a)(1) unless the employing unit files an application for termination of coverage with the commission on or after January 1 but before April 1 of the year for which termination is requested. The commission may make a finding under Subsection (a)(2) without an application having been filed. Acts 1993, 73rd Leg., ch. 269, Sec. 1, eff. 9/1/1993.