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Massachusetts businesses push back against ballooning unemployment taxes following COVID-related claims

Massachusetts businesses push back against ballooning unemployment taxes following COVID-related claims Updated 6:15 PM; A growing number of Massachusetts business owners who took solace in the passage of a bill promoting an unemployment tax rate freeze during the COVID-19 pandemic are sounding the alarm after seeing massive increases in their employee contribution rate on their state tax notices. The Retailers Association of Massachusetts circulated a letter to Gov. Charlie Baker and lawmakers urging them to find a fix to close a $4 billion-plus deficit the state Unemployment Insurance Trust Fund faces by the end of the year. RAM President Jon Hurst, Massachusetts Restaurant Association President Bob Luz and 17 chamber leaders signed onto the letter.

The Looming Showdown Over Unemployment Benefits

The Looming Showdown Over Unemployment Benefits Federal benefits are going to expire, and Republican legislatures are looking to make cuts. By Tara Golshan and Arthur Delaney Extra federal unemployment benefits are set to expire this year, and Republican state legislatures will be eager to cut benefits further once they do ― unless Democrats in Congress come up with a plan to stop them. So far this year, Republicans in Tennessee, Iowa and Louisiana have proposed bills to cut down how many weeks jobless Americans can get unemployment pay. These proposed cuts, which GOP legislators say are necessary to shore up unemployment trust funds, could mean an even weaker safety net for millions of Americans for years to come.

Unemployment fraud plagues businesses

Roth did not know either of the claimants and had never employed them.  “When this started, I’m like, ‘Wow, this will be easy to correct,’” he said. “Boy, was I wrong.” Roth spent upwards of 40 hours over the next couple of months sending emails and faxes and making phone calls in attempts to get the claims approvals reversed. “I just followed the directions in the letters, calling the 800 number or the 303 number, and couldn’t get through to anybody,” Roth said. “I’d be on hold for a long time, and then the call would get dropped.” After many unsuccessful attempts to contact the department by phone, “I was finally able to get a fax through,” he said. “Then I got letters saying that because I didn’t dispute it, it’s been approved.”

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