Section 931.5 Of Article 2. “wages,” The Basis Of The Contribution From California Unemployment Insurance Code >> Division 1. >> Part 1. >> Chapter 4. >> Article 2.
931.5
. (a) Except for Part 2 (commencing with Section 2601) of this
division and Division 6 (commencing with Section 13000), any third
party which makes a payment included in the term "wages" solely by
reason of subdivision (a) of Section 931 shall be the employer with
respect to those wages unless the third-party payer notifies the last
employer, who is a member of the plan and for whom the services were
performed, within 15 days of payment, and provides all of the
following information to that last employer:
(1) The name and social security account number of the recipients
of the wages paid pursuant to subdivision (a) of Section 931.
(2) The amount of gross wages paid pursuant to subdivision (a) of
Section 931.
(b) The special rule prescribed by this subdivision applies to the
payment of sick pay made by a third-party payer, such as an insurer,
under a contract of insurance pursuant to a multiple employer plan
that is obligated to make payments for sick pay to employees of
participating employers. If the third-party payer provides the plan
with the notification required by subdivision (a) within the time
required, the plan, not the third-party payer, shall be treated as
the employer under subdivision (a). If within six business days after
receipt of the notification the plan similarly notifies the last
employer for whom the services are performed, and who is a plan
member, that employer, not the plan, shall be required to report and
pay the contributions due with respect to the wages.
(c) The employer, as determined by subdivision (a) or (b), shall
pay contributions, required by this part, except as provided in
Sections 984 and 986, and shall comply with the requirements of
subdivision (a) of Section 1088.
(d) When an employer receives the notification prescribed in
subdivision (a) or (b), the wages described therein shall be deemed
paid when the notice is received.
(e) The director shall not make an assessment pursuant to Section
1126, 1127, or 1137 to assess employee contributions required by
Sections 984 and 13020 on third-party sick pay as described in
subdivision (a) for the period from January 1, 1987, through the date
on which this subdivision became effective.
(f) Except as provided by Section 1176 and Section 19301 of the
Revenue and Taxation Code, no refunds may be made for employee
contributions required by Sections 984 and 13020 paid on third-party
sick pay as described in subdivision (a) for the period from January
1, 1987, through the date on which this subdivision became effective.