The tax intercept process
Federal and state laws require state agencies to recover delinquent tax contributions by intercepting the debtors’ federal income tax refunds as well as intercept of state income tax refunds, payments from state contracts, lottery winnings and any other payments due to an employer. When an employer’s balance becomes final and eligible for intercept, a Notice of Intent to Intercept will be mailed to delinquent employers at least 60 days prior to referral for intercept. We recommend that you use our online self-service system to update your address information and mailing preference. Log on to www.mass.gov/uima
How can I avoid a Federal and/or State Tax Intercept?
You can avoid the risk of an intercept by filing accurately and paying the total balance due on time each quarter. If you cannot pay your balance in full you may enter into a payment agreement. However, having an active payment agreement doesn’t exclude you from intercept.
How do I make a payment?
- Navigate to www.mass.gov/uima and select Employer Login.
- From there enter your User ID and password to be directed to the Employer Home page.
- To view your account balance: Select Payment Information-->Unpaid Debt and Credit Summary/Make a Payment.
- To make a payment: Select the Make Payment button at the bottom of page and select your applicable payment method.
How do I report employment?
When reporting UI covered employment for each of the three months in the quarter, you should report yes or 1 for any employee who worked for and received pay for UI wages during any part of the week of the 12th for each month. Employers who only report DOR income tax withholding should not enter yes in the UI liable employment field and should report zero in the UI Gross Wages field.
Important information regarding maintaining your account
- If you are no longer in business, it is critical that you suspend your UI Online account. Failure to do so will result in non-filer penalties and assessments. To suspend your account go to Account Maintenance-->Suspend Employer Account.
- If you choose to use a third-party administrator, please be sure to add them as your TPA and assign them the appropriate roles in your account so they can file and make payments on your behalf. (Do not just add them as an account user.)