How does the VEC know if employers are reporting incorrectly?
The VEC may learn about incorrect reporting when a former worker files for unemployment benefits and their wages are not recorded in our system. In addition, VEC tax representatives conduct periodic audits of employer accounts. Over 3,700 VEC audits are conducted each year. These audits reveal some employers are not reporting all workers to the VEC and are not reporting compensation correctly. Employers who exclude reportable wages may become subject to additional tax, interest, and penalties.
