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U.S. Code as of:
01/19/04
Section 358. Contributions
(a) Employer contribution
(1) In general
(A) General rule
(i) Contribution rate generally
Every employer shall pay a contribution, with respect to
having employees in his service, equal to the percentage
determined under subparagraph (B), (C), or (D), whichever is
applicable, of so much of the compensation paid in any
calendar month by such employer to any employee as is not in
excess of the monthly compensation base for that month as
computed under section 351(i) of this title.
(ii) Multiple employer limitation
If compensation is paid to an employee by more than one
employer in any calendar month -
(I) the contributions required by this subsection shall
not apply to any amount of the aggregate compensation paid
to such employee by all such employers in such calendar
month which is in excess of such monthly compensation base;
and
(II) each employer (other than a subordinate unit of a
national-railway-labor-organization employer) shall be
liable for that portion of the contribution with respect to
such compensation paid by all such employers which the
compensation paid by him to such employee bears to the
total compensation paid in such month by all such employers
to such employee.
In the event that the compensation paid by such employers to
the employee in such month is less than such monthly
compensation base, each subordinate unit of a
national-railway-labor-organization employer shall be liable
for such portion of any additional contribution as the
compensation paid by such employer to such employee in such
month bears to the total compensation paid by all such
employers to such employee in such month.
(B) Transitional rule
(i) 1st, 2d, and 3d calendar years
Except as provided in clause (vi), with respect to
compensation paid in calendar years 1988, 1989, and 1990, the
contribution rate shall be 8 percent.
(ii) 4th calendar year
With respect to compensation paid in calendar year 1991,
the contribution rate shall be the smaller of -
(I) the maximum contribution limit computed under
paragraph (20); or
(II) the percentage computed pursuant to the following
formula:
2A+B
R= -------
3
(iii) 5th calendar year
With respect to compensation paid in calendar year 1992,
the contribution rate shall be the smaller of -
(I) the maximum contribution limit computed under
paragraph (20); or
(II) the percentage computed pursuant to the following
formula:
A+2C
R= -------
3
(iv) Meaning of symbols
For purposes of the formulas in clauses (ii) and (iii) -
(I) "R" is the applicable contribution rate expressed as
a percentage for months in the calendar year;
(II) "A" is the contribution rate determined under clause
(i);
(III) "B" is the percentage rate for the employer, as
determined under subparagraph (C), for calendar year 1991;
and
(IV) "C" is the percentage rate for the employer, as
determined under subparagraph (C), for calendar year 1992.
(v) Special rule for certain computations
For purposes of computing B and C in such formulas -
(I) the percentage rate computed under subparagraph (C),
if more than the maximum contribution limit computed under
paragraph (20) shall not be reduced to that limit; and
(II) any computations which under subparagraph (C) are to
be made on the basis of a 4-quarter or a 12-quarter period
ending on a given June 30 shall be made on the basis of a
period beginning on January 1, 1990, and ending on that
June 30, and the amount so computed shall be increased to
an amount that bears the same ratio to the amount so
computed as 4 or 12, as appropriate, bears to the number of
calendar quarters in the period on which the computation
was based.
(vi) Special transition rule for public commuter railroads
With respect to each of calendar years 1989 and 1990, the
contribution of the National Railroad Passenger Corporation
and an employer which on November 10, 1988, is a publicly
funded and publicly operated carrier providing rail commuter
service shall be equal to the amount of benefits attributable
to such carrier, plus an amount equal to 0.65 percent of the
total compensation paid by that employer in that year on
which that employer's contribution would be based under
clause (i) if such employer's contribution were determined
under that clause.
(C) Experience-rated contributions
With respect to compensation paid in a calendar year that
begins after December 31, 1992, the contribution rate for each
employer shall be determined as follows:
(i) Step 1
Compute the employer's benefit ratio as of the preceding
June 30 to 4 decimal points in accordance with paragraph (2).
(ii) Step 2
Subtract the employer's reserve ratio as of the preceding
June 30 as computed to 4 decimal points in accordance with
paragraph (4).
(iii) Step 3
Subtract the pooled credit ratio for the calendar year, if
any, as computed to 4 decimal points in accordance with
paragraph (12).
(iv) Step 4
Multiply by 100 the total arrived at under the steps set
forth in clauses (i) through (iii) so as to obtain a
percentage rate, which shall be rounded to the nearest 100th
of 1 percent. If the total arrived at under such steps is 0
or less than 0, the percentage rate as so computed shall be
0.
(v) Step 5
Add 0.65 to the percentage rate arrived at under clause
(iv), representing the portion of the employer's contribution
which is to be deposited to the credit of the fund under
subsection (i) of this section.
(vi) Step 6
Add the surcharge rate for the calendar year, if any, as
computed under paragraph (14).
(vii) Step 7
Add the pooled charge ratio for the calendar year, if any,
as computed to 4 decimal points under paragraph (13) and
multiplied by 100.
(viii) Step 8
Reduce the precentage (!1) rate computed in accordance with
the preceding steps to the maximum contribution limit
computed under paragraph (20), if such rate is higher than
such limit. The rate computed in accordance with the
preceding steps, after any reduction under this clause, is
the contribution rate.
(D) New-employer contribution rates
Notwithstanding subparagraphs (B) and (C), the contribution
rate applicable to a new employer who does not become subject
to this chapter until after December 31, 1989, shall be
determined as follows:
(i) 1st calendar year
With respect to compensation paid in calendar months before
the end of the first full calendar year in which the employer
is subject to this chapter, the contribution rate shall be
the average contribution rate paid by all employers during
the 3 calendar years preceding the calendar year before the
calendar year in which the compensation is paid. The average
contribution rate shall be determined -
(I) by dividing the aggregate contributions paid by all
employers under this subsection in those 3 calendar years
by the aggregate compensation with respect to which such
contributions were paid; and
(II) by multiplying the resulting ratio as computed to 4
decimal points by 100.
(ii) 2d calendar year
With respect to compensation paid in calendar months in the
next calendar year, the contribution rate shall be the
smaller of -
(I) the maximum contribution limit computed under
paragraph (20); or
(II) the percentage rate computed pursuant to the
following formula:
2(A2)+B
R= -----------
3
(iii) 3d calendar year
With respect to compensation paid in calendar months in the
third full calendar year in which the employer is subject to
the coverage of this chapter, the contribution rate shall be
the smaller of -
(I) the maximum contribution limit computed under
paragraph (20); or
(II) the percentage rate computed pursuant to the
following formula:
A3+2C
R= ---------
3
(iv) Subsequent calendar years
With respect to all calendar months in calendar years
subsequent to that calendar year, the contribution rate shall
be determined under subparagraph (C).
(v) Meaning of symbols
For purposes of the formulas in clauses (ii) and (iii) -
(I) "R" is the applicable contribution rate expressed as
a percentage for months in the calendar year;
(II) "A1" is the contribution rate determined under
clause (i) for such employer's first full calendar year;
(III) "A2" is the contribution rate which would have been
determined under clause (i) if the employer's second
calendar year had been its first full calendar year;
(IV) "A3" is the contribution rate which would have been
determined under clause (i) if the employer's third
calendar year had been such employer's first full calendar
year;
(V) "B" is the contribution rate for the employer as
determined under subparagraph (C) for the employer's second
full calendar year; and
(VI) "C" is the contribution rate for the employer as
determined under subparagraph (C) for the employer's third
full calendar year.
(vi) Special rule for certain computations
For purposes of computing B and C in such formulas -
(I) the percentage rate computed under subparagraph (C),
shall not be reduced under clause (viii) of that
subparagraph; and
(II) any computations which under subparagraph (C) are to
be made on the basis of a 4-quarter or 12-quarter period
ending on a given June 30 shall be made on the basis of a
period commencing with the first day of the first calendar
quarter that begins after the date on which the employer
first commenced paying compensation subject to this chapter
and ending on that June 30, and the amount so computed
shall be increased to an amount that bears the same ratio
to the amount so computed as 4 or 12, as appropriate, bears
to the number of calendar quarters in the period on which
the computation was based.
(2) Benefit ratio
An employer's benefit ratio as of any given June 30 shall be
determined by dividing all benefits charged to the employer under
paragraph (15) during the 12 calendar quarters ending on such
June 30 by the employer's 3-year compensation base as of such
June 30 as computed under paragraph (3).
(3) 3-year compensation base
An employer's 3-year compensation base as of any given June 30
is the aggregate compensation with respect to which contributions
were paid by the employer under this subsection in the 12
calendar quarters ending on such June 30.
(4) Reserve ratio
An employer's reserve ratio as of any given June 30 shall be
computed by dividing the employer's reserve balance as of such
June 30, as computed under paragraph (6), by that employer's
1-year compensation base as of such June 30, as computed under
paragraph (5). The employer's reserve ratio may be either a
positive or a negative figure, depending upon whether the
employer's reserve balance is a positive or negative figure.
(5) 1-year compensation base
An employer's 1-year compensation base as of any given June 30
is the aggregate compensation with respect to which contributions
were paid by the employer under this subsection in the 4 calendar
quarters ending on such June 30.
(6) Reserve balance
An employer's reserve balance as of any given June 30 shall be
determined by subtracting the employer's cumulative benefit
balance as of such June 30, computed under paragraph (7), from
the employer's net cumulative contribution balance as of such
June 30, computed under paragraph (8). An employer's reserve
balance may be either positive or negative, depending upon
whether or not that employer's net cumulative contribution
balance exceeds the employer's cumulative benefit balance.
(7) Cumulative benefit balance
An employer's cumulative benefit balance as of any given June
30 shall be determined by adding -
(A) the net amount of the benefits charged to the employer
under paragraph (15) on or after January 1, 1990; and
(B) the cumulative amount of the employer's unallocated
charges for the same period, if any, as computed under
paragraph (9).
(8) Net cumulative contribution balance
An employer's net cumulative contribution balance as of any
given June 30 shall be determined as follows:
(A) Step 1
Compute the sum of
(i) all contributions paid by the employer pursuant to this
subsection;
(ii) that portion of the tax imposed under section 3321(a)
of title 26 that is attributable to the surtax rate under
section 516(b) of the Railroad Unemployment Insurance and
Retirement Improvement Act of 1988; (!2) and
(iii) any taxes paid by the employer pursuant to section
3321(a) of title 26 (after the outstanding balance of loans
made under section 360(d) of this title before October 1,
1985, plus interest, have been paid);
on or after January 1, 1990.
(B) Step 2
Subtract an amount equal to the amount of such contributions
deposited to the credit of the fund under subsection (i) of
this section.
(C) Step 3
Add an amount equal to the aggregate amount by which such
contributions were reduced in prior calendar years as a result
of pooled credits, if any, under paragraph (1)(C)(iii).
(9) Unallocated charge
An employer's unallocated charge as of any given June 30 is the
amount that as of such June 30 bears the same ratio to the system
unallocated charge balance, computed under paragraph (10), as the
employer's 1-year compensation base, computed under paragraph
(5), bears to the system compensation base computed under
paragraph (11).
(10) System unallocated charge balance
The system unallocated charge balance as of any given June 30
shall be determined as follows:
(A) Step 1
Compute the aggregate amount of all interest paid by the
account on loans from the Railroad Retirement Account after
September 30, 1985, pursuant to section 360(d) of this title,
during the 4 calendar quarters ending on that June 30.
(B) Step 2
Add the aggregate amount of any additions to the system
unallocated charge balance specified in paragraphs (15) and
(16), during that period.
(C) Step 3
Add the aggregate amount of any other expenditures by the
account during that period not chargeable to any individual
employer under paragraph (15) or to the fund under section 361
of this title.
(D) Step 4
Subtract the aggregate amount of all income to the account,
under section 360(a)(iv) of this title or section 360(a)(vii)
of this title, during that period.
(E) Step 5
Subtract the aggregate amount of all transfers to the
account, pursuant to section 361(d) of this title, during that
period.
(F) Step 6
Subtract the aggregate amount of all other income and
receipts of the account, during that period, which are not
assigned to individual employer balances.
(G) Step 7
Subtract the net cumulative contribution balance of each
employer whose balance has been cancelled pursuant to paragraph
(16), during that period, calculated as of the date of such
cancellation.
(11) System compensation base
The system compensation base as of any given June 30 shall be
determined by adding together the amounts of the 1-year
compensation bases of all employers and employee representatives
subject to this chapter, computed in accordance with paragraph
(5), as of such June 30.
(12) Pooled credit ratio
The pooled credit ratio, if any, for a calendar year shall be
determined as follows:
(A) Step 1
Compute the balance to the credit of the account as of the
close of business on the preceding June 30, including any
amounts in the account attributable to loans made under section
360(d) of this title before October 1, 1985, but disregarding
the obligation to repay such loans and interest thereon. In
determining such balance as of June 30 of any year, so much of
the balance to the credit of the railroad unemployment
insurance administration fund as of the close of business on
such date as is in excess of $6,000,000 shall be deemed to be
part of the balance to the credit of such account. There will
be a pooled credit ratio for the calendar year only if that
balance is in excess of the greater of $250,000,000 or of the
amount that bears the same ratio to $250,000,000 as the system
compensation base as of that June 30 bears to the system
compensation base as of June 30, 1991, as computed in
accordance with paragraph (11).
(B) Step 2
If there is such an excess amount, divide that excess amount
by the system compensation base as of the June 30 preceding the
calendar year. The result is the pooled credit ratio for the
calendar year.
(13) Pooled charge ratio
The pooled charge ratio, if any, for a calendar year shall be
determined as follows:
(A) Step 1
With respect to each employer whose contribution rate for
that calendar year as computed through step 6 under paragraph
(1)(C) was greater than the maximum contribution limit computed
under paragraph (20), multiply the employer's 1-year
compensation base as of the preceding June 30, as computed in
accordance with paragraph (5), by the difference between -
(i) the percentage rate determined under subparagraph (B),
(C), or (D) of paragraph (1) before the reduction to the
maximum contribution limit; and
(ii) the maximum contribution limit.
(B) Step 2
Add the amounts arrived at under step 1 so as to obtain an
aggregate amount for all such employers.
(C) Step 3
For each employer whose contribution rate as computed through
step 3 under paragraph (1)(C) was less than 0, the percentage
rate by which such employer's rate was raised in order to bring
that rate to 0 shall be multiplied by that employer's 1-year
compensation base as of the preceding June 30. Subtract the
total of the amounts computed under the preceding sentence for
all employers from the amount arrived at in step 2.
(D) Step 4
Divide the aggregate amount arrived at under step 3 by the
system compensation base as of the preceding June 30 as
computed under paragraph (11) minus the one-year compensation
base of those employers whose rates computed through step 6 of
paragraph (1)(C) exceeded the maximum contribution rate
computed under paragraph (20). The result is the pooled charge
ratio for the calendar year.
(14) Surcharge rate
The surcharge rate for a calendar year, if any, shall be
determined as follows:
(A) Step 1
Compute the balance to the credit of the account as of the
close of business on the preceding June 30, including any
amounts in the account attributable to loans made under section
360(d) of this title before October 1, 1985, but disregarding
the obligation to repay such loans and interest thereon. In
determining such balance as of June 30 of any year, so much of
the balance to the credit of the railroad unemployment
insurance administration fund as of the close of business on
such date as is in excess of $6,000,000 shall be deemed to be
part of the balance to the credit of such account. There will
be a surcharge rate for the calendar year only if that balance
is less than the greater of $100,000,000 or of the amount that
bears the same ratio to $100,000,000 as the system compensation
base as of that June 30 bears to the system compensation base
as of June 30, 1991, as computed in accordance with paragraph
(11).
(B) Step 2
(i) If the balance to the credit of the account is less than
the greater of the amounts referred to in the 2nd sentence of
step 1 but is equal to or more than the greater of $50,000,000
or of the amount that bears the same ratio to $50,000,000 as
the system compensation base as of that June 30 bears to the
system compensation base as of June 30, 1991, then the
surcharge rate for the calendar year shall be 1.5 percent.
(ii) If the balance to the credit of the account is less than
the greater of the amounts referred to in the clause (i), but
greater than or equal to zero, then the surcharge rate for the
calendar year shall be 2.5 percent.
(iii) If the balance to the credit of the account is less
than zero, the surcharge rate for the calendar year shall be
3.5 percent.
(15) Chargeable benefits
(A) In general
Beginning January 1, 1990, all benefits paid to an employee
for days of unemployment or days of sickness shall be charged
to that employee's base year employer by adding amounts equal
to the amounts of such benefits to the employer's cumulative
benefit balance except that benefits paid by reason of strikes
or work stoppages growing out of labor disputes shall not be
added to the employer's cumulative benefit balance but instead
shall be added to the system unallocated charge balance.
(B) Adjustments
A sum equal to each amount realized in recovery for
overpayment, erroneous payment, or reimbursement of benefits
and credited to the account pursuant to section 360(a)(v) or
360(a)(viii) of this title shall be subtracted from the
cumulative benefit balances of the employers of the employees
to whom such an amount was paid as a benefit in the proportion
to the amount by which each such employer's cumulative benefit
balance was increased as a result of the payment of the
benefit.
(C) Multiple employers
(i) In general
All benefits paid to an employee who had more than 1
base-year employer shall be charged to the cumulative benefit
balances of the employee's base year employers -
(I) in reverse chronological order of the employee's
employment with each such employer in the base year if the
employer at the time of the claim was the last base year
employer, and the amount charged to each employer shall not
exceed the compensation paid by that employer to the
employee in the base year; and
(II) in all other cases, in the same ratio as the
compensation paid to such employee by the employer bears to
the total of such compensation paid to such employees by
all such employers in the base year.
(ii) Special rule for employer with cancelled balances
All benefits chargeable under this subparagraph to an
employer for which the Board has cancelled balances under
paragraph (16) shall be added to the system unallocated
charge balance.
(16) Defunct employer
Whenever the Board determines, pursuant to such regulations as
the Board may prescribe, that an employer has permanently ceased
to pay compensation with respect to which contributions are
payable pursuant to this subsection, the Board shall, effective
on the date of the Board's determination, transfer the employer's
net cumulative contribution balance as a subtraction from, and
cumulative benefit balance as an addition to, the system
unallocated charge balance and cancel all other accumulations of
the employer.
(17) Individual employer record
(A) In general
As of January 1, 1990, the Board shall commence maintaining
an individual employer record with respect to each employer,
and the records necessary to determine pooled charges, pooled
credits and unallocated charge balances for the system.
Whenever a new employer begins paying compensation with respect
to which contributions are payable pursuant to this subsection,
the Board shall establish and maintain an individual employer
record for such employer.
(B) Definition
As used in this paragraph, the term "individual employer
record" means a record of an individual employer's benefit
ratio, reserve ratio, 1-year compensation base, 3-year
compensation base, unallocated charge, reserve balance, net
cumulative contribution balance, and cumulative benefit
balance.
(18) Joint employer records
Pursuant to regulations prescribed by the Board, the Board may
allow 2 or more employers, upon application, to establish and
maintain, or to discontinue, a joint individual employer record
for such employers as though such joint record constituted a
single employer's individual employer record.
(19) Mergers, consolidations, or other changes in employer
identity
(A) With other employers
In the event of a merger, consolidation, unification, or
reorganization in which an employer combines with another
employer and the combination entails no partitioning of the
property of the employer, the individual employer records of
the 2 employers shall be combined into a joint individual
employer record if the parties request such joint treatment
pursuant to paragraph (18) or if the Board otherwise
determines, pursuant to regulations prescribed by the Board,
that such joint treatment is desirable.
(B) With nonemployers
In the event of a merger, consolidation, unification, or
reorganization in which an employer combines with another
entity that is not an employer, the employer's individual
employer record shall attach to the combined entity.
(C) Sale of assets
In the event property of an employer is sold or transferred
to another employer or other entity, or is partitioned among 2
or more employers or entities, the cumulative benefit balance,
net cumulative contribution balance, 1-year compensation base,
and 3-year compensation base of the employer shall be prorated
among the employers which receive the property, including any
entities which become employers by virtue of such transfer or
partition, in such equitable manner as the Board by regulation
shall prescribe.
(D) Reincorporation
The cumulative benefit balance, net cumulative contribution
balance, 1-year compensation base, and 3-year compensation base
of an employer that reincorporates or otherwise alters its
corporate identity in a transaction not involving a merger,
consolidation, or unification shall attach to the
reincorporated or altered entity.
(E) Abandonment
If an employer abandons property or discontinues service but
continues to operate as an employer, the employer's individual
employer record shall continue to be calculated as provided in
this subsection without retroactive adjustment.
(20) Maximum contribution limit
The maximum contribution limit with respect to a calendar year
is 12 percent, unless a 3.5 percent surcharge under paragraph
(14) is in effect with respect to that calendar year. If such a
surcharge is in effect the maximum contribution limit with
respect to that calendar year is 12.5 percent.
(21) Special rules for certain computations under paragraph
(1)(C)
(A) Any computation that is to be made under paragraph (1)(C)
on the basis of a 12-quarter period ending on a given June 30
shall be made on the basis of a period -
(i) beginning on the later of -
(I) January 1, 1990;
(II) the first day of the first calendar quarter that
begins after the date on which the employer first began to
pay compensation subject to this chapter; or
(III) July 1 of the third calendar year preceding that June
30; and
(ii) ending on that June 30.
(B) The amount computed under subparagraph (A) shall be
increased to an amount that bears the same ratio to the amount so
computed as 12 bears to the number of calendar quarters on which
the computation is based.
(b) Employee representative contribution
Each employee representative shall pay a contribution with
respect to so much of the compensation paid to him for services
performed as an employee representative as is not in excess of the
monthly compensation base computed in accordance with section
351(i) of this title, at a rate which shall be determined under
subsection (a) of this section in the same manner and with the same
effect as if the employee organization by which such employee
representative is employed were an employer as defined in this
chapter.
(c) Board proclamation of balance
(1) In general
Not later than October 15, 1990, and October 15 of each year
thereafter the Board shall proclaim -
(A) the balance to the credit of the account as of the
preceding June 30 for purposes of paragraphs (12) and (14) of
subsection (a) of this section;
(B) the balance of any advances to the account under section
360(d) of this title after September 30, 1985, that has not
been repaid with interest as provided in such section as of
September 30 of that year;
(C) the system compensation base as of that June 30 as
computed in accordance with paragraph (11) of that subsection;
(D) the system unallocated charge balance as of that June 30,
as computed in accordance with paragraph (10) of that
subsection; and
(E) the pooled credit ratio, the pooled charge ratio, and the
surcharge rate, if any, as determined under paragraph (12),
(13), or (14) of that subsection and applicable in the
following calendar year.
(2) Publication of notice
As soon as is practicable after such proclamation, the Board
shall publish notice in the Federal Register of the amounts so
determined and proclaimed.
(d) Notifications by Board
(1) Not later than the last day of any calendar quarter that
begins after March 31, 1990, the Board shall notify each employer
and employee representative of its net cumulative contribution
balance and cumulative benefit balance as of the end of the
preceding calendar quarter, as computed in accordance with
paragraphs (7) and (8) of subsection (a) of this section as of the
last day of such preceding calendar quarter rather than as of a
given June 30 if such last day is not a June 30.
(2) Not later than October 15, 1990, and October 15 of each year
thereafter, the Board shall notify each employer and employee
representative of its benefit ratio, reserve ratio, 1-year
compensation base, 3-year compensation base, unallocated charge,
and reserve balance as of the preceding June 30 as computed in
accordance with paragraphs (2), (3), (4), (5), (6), and (9) of
subsection (a) of this section, and of the contribution rate
applicable to the employer or employee representative in the
following calendar year as computed under paragraphs (1)(B), (C),
or (D) of that subsection.
(e) Information to verify accuracy to be made available
Notwithstanding any other provision of law, upon request by an
employer or employee representative, the Board shall make available
to such employer or employee representative any information
available to the Board which may be necessary to verify the
accuracy of a contribution rate determined by the Board to be
applicable to such employer or employee representative, or of any
component of that contribution rate including the accuracy of the
employer's individual employer record, upon payment by such
employer or employee representative to the Board of the cost
incurred by the Board in making such information available. The
amounts so paid to the Board shall be credited to and deposited in
the fund.
(f) Fractional parts of a cent
In the payment of any contribution under this chapter, a
fractional part of a cent shall be disregarded unless it amounts to
one-half cent or more, in which case it shall be increased to one
cent.
(g) Adjustments for improper payments
If more or less than the correct amount of the contribution
required by this section is paid with respect to any compensation,
then, under regulations prescribed under this chapter by the Board,
proper adjustments with respect to the contribution shall be made,
without interest, in connection with subsequent contribution
payments made under this chapter by the same employer or employee
representative.
(h) Refunding overpayment; collecting underpayment
If more or less than the correct amount of the contribution
required by this section is paid with respect to any compensation
and the overpayment or underpayment of the contribution cannot be
adjusted under subsection (d) of this section, the amount of the
overpayment shall be refunded from the account, or the amount of
the underpayment shall be collected, in such manner and at such
times (subject to the statute of limitations properly applicable
thereto) as may be prescribed by regulations of the Board.
(i) Collection and deposit of contributions
The contributions required by this chapter shall be collected by
the Board and shall be deposited by it with the Secretary of the
Treasury of the United States, such part thereof as equals 0.65 per
centum of the total compensation on which such contributions are
based to be deposited to the credit of the fund and the balance to
be deposited to the credit of the account.
(j) Time for payment; failure to pay promptly
The contributions required by this chapter shall be collected and
paid quarterly or at such other times and in such manner and under
such conditions not inconsistent with this chapter as may be
prescribed by regulations of the Board, and shall not be deducted,
in whole or in part, from the compensation of employees in the
employer's employ. If a contribution required by this chapter is
not paid when due, there shall be added to the amount payable
(except in the case of adjustments made in accordance with the
provisions of this chapter) interest at the rate of 1 per centum
per month or fraction of a month from the date the contribution
became due until paid. Any interest collected pursuant to this
subsection shall be credited to the account.
(k) Application of other laws; authority of Board
All provisions of law, including penalties, applicable with
respect to any tax imposed by the provisions of the Railroad
Retirement Tax Act [26 U.S.C. 3201 et seq.], insofar as applicable
and not inconsistent with the provisions of this chapter, shall be
applicable with respect to the contributions required by this
chapter: Provided, That all authority and functions conferred by or
pursuant to such provisions upon any officer or employee of the
United States, except the authority to institute and prosecute, and
the function of instituting and prosecuting, criminal proceedings,
shall, with respect to such contributions, be vested in and
exercised by the Board or such officers and employees of the Board
as it may designate therefor. The remedies available under the
first sentence of this subsection for an employer or employee
representative who contests the amount of contributions payable by
him shall also apply with respect to a contention that the
contribution rate determined by the Board under subsection (a) or
(b) of this section to be applicable to such employer or employee
representative is inaccurate or otherwise improper.
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