The latest Florida Unemployment Tax Insanity involves the terrible Department of Revenue (DOR) Unemployment Tax Insanity involves its terrible e-File website. Our infamous hanging chads election only happened once. However, the DOR continues the malfeasance, involved in this terrible e-File website, every day.
You often cannot use this Florida Unemployment Tax Insanity terrible e-File website. This is because it apparently STILL (after years) does not link to data on paper tax returns or direct e-Filed returns (filed without using this website). That means you often cannot file correct tax returns with the website if you previously filed a paper or direct e-File tax return. You cannot do this because unemployment tax only applies to the first $7,000 of 2011 taxable wages ($8,500 in 2012) a year. If you use this website, after filing a paper return in an earlier quarter, you get no credit for wages on which you already paid tax.
Say John had $6,000 in wage per quarter in 2011. You can report the first quarter on a paper tax return if you have less than 10 employees. When you report his next $6,000 of wages, the terrible e-File website treats the entire $6,000 as taxable. There is no provision for correcting this to have only $1,000 taxed. You also cannot stop paying tax on an extra $1,000 of wages unless you commit fraud. Here is how to commit fraud, to get the right answer. Report John's second quarter wages as $1,000 and do not report any third and fourth quarter wages for him.
I would love to have the state try to prosecute me for committing this fraud, which I had to do to pay the right tax. In fact, I may file a criminal complaint against the heard or the DOR, for fraudulently contining overtaxing this way. The Governor also should remove DOR officials due to Florida Unemployment Tax Insanity and stupidity. They have employees call for missing returns that are only a week late, when it takes the state 6+ weeks to post tax filings and payments. One stupid employee even insisted we had to keep e-filing, at the terrible e-File website, though we had less than the required 10 employees.
Our $11 a month e-File payroll service is the only way to insure proper filings, without penalties and calls from these stupid people. It is especially good because of guaranteed accuracy and timely filing.