The bill H. 4745 proposes amendments to Section 41-31-5 of the South Carolina Code of Laws, specifically regarding the calculation of the unemployment insurance tax rate benefit ratio. The key change involves extending the lookback period for computing the benefit ratio. Currently, the benefit ratio is calculated using data from the twelve calendar quarters preceding the calculation date. Under the new provisions, starting in tax year 2027, the lookback period will expand to sixteen calendar quarters, and from tax year 2028 onward, it will further extend to twenty calendar quarters.

This adjustment aims to provide a more comprehensive assessment of an employer's benefit ratio by utilizing a longer historical data set. The bill specifies that if fewer than the required number of quarters are available, the calculation will still proceed using the available data. The bill is currently under consideration in the House Committee on Labor, Commerce and Industry and will take effect upon approval by the Governor.

Statutes affected:
Latest Version: 41-31-5