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U.S. DEPARTMENT OF LABOR
Employment and Training Administration
Washington, D. C. 20210

CLASSIFICATION

UI

CORRESPONDENCE SYMBOL

TEURL

ISSUE DATE

December 22, 1982

RESCISSIONS

 

EXPIRATION DATE

December 31, 1983

DIRECTIVE

:

UNEMPLOYMENT INSURANCE PROGRAM LETTER NO. 10-83

 

TO

:

ALL STATE EMPLOYMENT SECURITY AGENCIES

 

FROM

:

ROYAL S. DELLINGER
Acting Administrator
for Regional Management

 

SUBJECT

:

Extension of Exclusion for Certain Fishing Boat Services from Federal Unemployment Tax Act FUTA

 

  1. Purpose. To advise States that the effective date provided for the exclusion of certain fishing boat services from FUTA coverage has been extended an additional year beyond the original one-year period provided in P.L. 97-34.

  2. References. Section 822 of P.L. 97-34 and Section 203 of P.L. 972, UIPL 1-82.

  3. Background. Section 822 of P.L. 97-34, the Economic Recovery Tax Act of 1981, approved August 13, 1981, amended the definition of "Employment" in Section 3306(c), FUTA, by adding new paragraph (18) providing for the exemption of certain fishing boat services from FUTA coverage. The amendment was effective only with respect to remuneration paid during calendar year 1981.

    Section 203 of P.L. 97-362, (Miscellaneous Revenue Act of 1982), approved October 25, 1982, amended subsection (b) of Section 822 of P.L. 97-34 by extending the 1981 effective date through 1982. Accordingly, the exemption provided in Section 3306(c)(18) FUTA for the fishing boat services described in Section 3121(b)(20), therein, will now be applicable for the entire calendar year 1982. Unless further extended by the Congress, it will have no application beyond December 31, 1982.

    No other changes were made to the language of the exemption in Section 3306(c)(18), FUTA. It remains exactly as originally enacted by Section 822 of P.L. 97-34.

    This is not a Federal law requirement for conformity. States that want to amend their laws to coincide with this change in FUTA should seek an appropriate amendment as early as possible in view of the limited application the exemption has to calendar year 1982.

  4. Action Required. No action is required other than by those States that wish to incorporate the described FUTA exemption in their State law for the limited period provided by P.L. 97-362.

  5. Inquiries.  Inquiries should be directed to your regional office.