<html> <head> <title>Rule 47:06:02:12 Requirements for transfer of reserve account of segregable unit of business -- Percentage of reserve account transferable.</title> <META NAME="Keywords" Content="Administrative Rules 47:06:02:12"> <META NAME="Description" Content="Administrative Rules 47:06:02:12 Requirements for transfer of reserve account of segregable unit of business -- Percentage of reserve account transferable."> <meta http-equiv=Content-Type content="text/html; charset=windows-1252"> <meta name=Generator content="Microsoft Word 14 (filtered)"> <style> <!-- /* Font Definitions */ @font-face {font-family:Calibri; panose-1:2 15 5 2 2 2 4 3 2 4;} @font-face {font-family:Times; panose-1:2 2 6 3 5 4 5 2 3 4;} /* Style Definitions */ p.MsoNormal, li.MsoNormal, div.MsoNormal {margin:0in; margin-bottom:.0001pt; font-size:10.0pt; font-family:"Times","serif";} @page WordSection1 {size:8.5in 11.0in; margin:1.0in 1.0in 1.0in 1.0in;} div.WordSection1 {page:WordSection1;} --> </style> </head> <body lang=EN-US> <div class=WordSection1> <p class=MsoNormal style='text-align:justify'><font size=3 face="Times New Roman"><span style='font-size:12.0pt;font-family:"Times New Roman","serif"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <b><span style='font-weight:bold'>47:06:02:12.&nbsp;&nbsp;Requirements for transfer of reserve account of segregable unit of business -- Percentage of reserve account transferable.</span></b> When an employer transfers a clearly segregable unit of the employer's business, for which the employer has maintained separate records, the employer shall furnish the Department of Labor and Regulation with continuous records of wages, contributions, and benefits paid on account of the segregable unit for the completed quarters of the year in which the transfer is made and for the four preceding calendar years or the time in which the segregable unit has been in operation, whichever is less. The transferring employer and the successor may jointly request that the Department of Labor and Regulation transfer to the successor the actual contribution, benefit, and payroll experience attributable to the segregable unit. For the transfer to be effective, the transferring employer and the successor shall sign and file an application for the transfer with the Department of Labor and Regulation within 90 days after the date of sale or transfer, and the application must be approved by the secretary of the department. The portion of the reserve account transferred to the successor is equal to the ratio that the transferred payroll bears to total payroll of the transferring employer.</span></font></p> <p class=MsoNormal style='text-align:justify'><font size=3 face="Times New Roman"><span style='font-size:12.0pt;font-family:"Times New Roman","serif"'>&nbsp;</span></font></p> <p class=MsoNormal style='text-align:justify'><font size=3 face="Times New Roman"><span style='font-size:12.0pt;font-family:"Times New Roman","serif"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <b><span style='font-weight:bold'>Source:</span></b> SL 1975, ch 16, &#167;&nbsp;1; transferred from &#167;&nbsp;47:06:02:13, 9 SDR 81, 9 SDR 124, effective July 1, 1983; 21 SDR 86, effective November 10, 1994; 39 SDR 127, effective January 23, 2013.</span></font></p> <p class=MsoNormal style='text-align:justify'><font size=3 face="Times New Roman"><span style='font-size:12.0pt;font-family:"Times New Roman","serif"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <b><span style='font-weight:bold'>General Authority:</span></b> SDCL <A HREF="/statutes/DisplayStatute.aspx?Type=Statute&Statute=61-5-42">61-5-42.</A></span></font></p> <p class=MsoNormal style='text-align:justify'><font size=3 face="Times New Roman"><span style='font-size:12.0pt;font-family:"Times New Roman","serif"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <b><span style='font-weight:bold'>Law Implemented:</span></b> SDCL <A HREF="/statutes/DisplayStatute.aspx?Type=Statute&Statute=61-5-42">61-5-42.</A></span></font></p> <p class=MsoNormal style='text-align:justify'><font size=3 face="Times New Roman"><span style='font-size:12.0pt;font-family:"Times New Roman","serif"'>&nbsp;</span></font></p> </div> </body> </html>