IMPORTANT NOTICE FOR EMPLOYERS

New Unemployment Insurance Tax System for Maine Employers in 2018

Action Required

File Early! File Timely!

The second and final phase of the modernized ReEmployME tax system for unemployment insurance is scheduled to go live on November 16, 2018. The last day to timely file quarterly wage reports (Form ME UC-1) for the third calendar quarter 2018 is October 31, 2018.  To timely file for the third quarter of 2018, employers must file returns and remit related payments with Maine Revenue Services (MRS) no later than October 31, 2018. 

File Early! File Timely!  Any third quarter Form ME UC-1 return filed, and related payment made, after October 31, 2018 will be subject to interest and penalty charges.  Employers are encouraged to ensure that their 2018 third quarter returns and payments are submitted to Maine Revenue Services no later than October 31, 2018.

During the period of transition to the ReEmployME tax system beginning November 16, 2018, Maine employers, payroll processors and third party agents will be able to use either the MDOL ReEmployME tax system or the MRS Maine Employers Electronic Tax Reporting System (MEETRS), whichever is more convenient.

See information below for additional detail about the ReEmployME project and the impact on filing Form ME UC-1 and remitting related payments.

The following changes have been made in preparation of the new UI tax system:

• Separate business registration applications for taxes administered by MRS and the UI tax.  What was the combined central registration application for taxes administered by MRS and the UI tax has been replaced with two separate applications: one for the taxes administered by MRS and the other for the UI tax.  The MRS online registration application is available at https://www5.informe.org/cgi-bin/online/suwtaxreg/index and the UI tax online application is available at https://maine.gov/reemployme. 

• New employer registration for the unemployment compensation tax.  New employers may register online with MDOL to determine liability for the unemployment compensation tax at https://maine.gov/reemployme.  Employers may apply for the FEIN online with the Internal Revenue Service at https://www.irs.gov/businesses (click on Employer ID Numbers, then click on Apply for an EIN Online).

• ReEmployME Portal Account Creation!  All liable and active employers need to create a portal account in ReEmployME to electronically file quarterly reports and make contribution payments through the new system beginning with the fourth quarter of 2018. The process is simple and only takes a few minutes.  Have your Federal and State Employer Identification Numbers with you. https://www.maine.gov/reemployme.

• Changes for Maine EZ Pay. Employers that use the Maine Revenue Services EZ Pay system to make Maine unemployment insurance payments are no longer able to delay the payment to a future date.  UI payments remitted using the Maine EZ Pay system must be completed the same day the transaction is initiated.  Also, employers may no longer utilize the “bill payment” tax type selection in the EZ Pay application to make UI payments.  The Maine EZ Pay “UC-1 unemployment contribution payment” selection can be used instead to pay a bill for an unemployment contribution account.  These changes do not affect other tax payments made using the Maine EZ Pay system.

• Maine Revenue Services no longer issues a first bill for unpaid UI tax liability.  All bills for unpaid UI tax liability are now issued by MDOL.  Thus, all UI bill payments must be remitted to MDOL in accordance with MDOL UI payment procedures.

The new UI tax system affects filing Form ME UC-1 and related payments as follows:

• Through November 7, 2018, employers will continue to file Form ME UC-1 and related payments with Maine Revenue Services.  This includes forms filed electronically and on paper.

• Beginning November 16, 2018, employers that currently file Form ME UC-1 and remit related payments electronically with MRS will need to do so using the new Maine Department of Labor’s ReEmployME electronic filing and payment application.  (Note:  The current MRS electronic filing and payment systems include the MRS I-file application, the Maine Employers Electronic Tax Reporting System [MEETRS], Maine EZ Pay and ACH Debit and ACH Credit payment methods.  The new MDOL ReEmployME application will utilize the same data file specifications as is currently used for purposes of the MRS MEETRS program; however, beginning in November 2018, the UI data file will be submitted directly to MDOL.)

• During the period of transition to the ReEmployME tax system beginning November 16, 2018, Maine employers, payroll processors and third party agents will be able to use either the MDOL ReEmployME tax system or the MRS Maine Employers Electronic Tax Reporting System (MEETRS), whichever is more convenient.

• Employers that currently file the paper version of Form ME UC-1 and the related payment to Maine Revenue Services may, after November 16, 2018, register with MDOL to file those returns and make those payments electronically using the new ReEmployME application.

• Employers that elect to continue filing Form ME UC-1 via paper on or after November 1, 2018 must submit the returns and related payments to Maine Revenue Services.  MRS will continue to process paper returns and accompanying payments for the Maine Department of Labor.  However, MRS will no longer provide customer support functions related to those returns; any UI tax question for returns filed and payments made on or after November 1, 2018 must be directed to MDOL.

Please visit www.maine.gov/labor/unemployment/tax.shtml (MDOL BUC Employer Services homepage) for more information about the new ReEmployME tax system, or call an Employer Services customer representative at (207) 621-5120 or toll free at (844) 754-3508.

For employers that use a payroll processor or tax preparer, please provide them with a copy of this statement.