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The Alabama Sr 2 form is a crucial document for employers seeking to determine their liability under the state's unemployment compensation laws. This application, issued by the Alabama Department of Labor, requires detailed information about the employer's business structure, employee count, and payroll history. Employers must provide their name, mailing address, and federal employer identification number, along with specific details about their type of employment—whether it be non-farm, agriculture, or domestic. The form also inquires about any previous unemployment accounts, the existence of employees in other states, and the applicability of the Federal Unemployment Tax Act. Additionally, employers must disclose their total Alabama wages and the number of individuals employed during each week of the year. Completing this form accurately is essential, as any false statements or refusal to provide requested information can lead to penalties, including fines or imprisonment. By following the instructions carefully and submitting all required information, employers can ensure compliance with Alabama's unemployment compensation regulations.

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STATE OF ALABAMA

DEPARTMENT OF LABOR

UNEMPLOYMENT COMPENSATION DIVISION

649 MONROE STREET

MONTGOMERY, ALABAMA 36131

STATUS UNIT: (334) 954-4730 FAX: (334) 954-4731

EMAIL: [email protected]

www.labor.alabama.gov

APPLICATION TO DETERMINE LIABILITY

IMPORTANT NOTICE

Under Alabama law you are required to furnish the information requested on this application. Each false statement or refusal to furnish information on this report, or willful refusal to make contributions or other payments is punishable by fine or imprisonment, or both, and each day of such refusal shall constitute a separate offense.

EMPLOYER NAME AND MAILING ADDRESS

FEDERAL EMPLOYER I.D. NUMBER (FEIN)

This number is assigned by the Internal Revenue Service

1.Mark (x) one type of employment. A separate form must be filed for each type of employment.

NON-FARM

AGRICULTURE

DOMESTIC

 

GOVERNMENT: STATE

LOCAL

2. Do you have a previous Alabama Unemployment Compensation Account? YES

NO

2a. If yes, account number:

 

3. Do you have employees located in another state? YES

NO

4.Is your firm subject to the Federal Unemployment Tax Act (FUTA)?

3a. If yes, in what state(s)?

YES

NO

4a. If yes, year liability first incurred:

 

4b.

Have you remained liable since that date?

YES

NO

 

 

 

5.

Did you start a new business? YES

 

NO

 

5a.

If no, did you acquire an ongoing business? YES

NO

 

5b.

Date Alabama employment began:

 

 

 

 

5c. Date payroll began:

 

 

 

6.

If you acquired ALL

or PART

of an ongoing business, enter the NAME,TRADE TITLE and ADDRESS of your predecessor employer:

 

 

 

 

 

 

 

 

 

 

6a.

Predecessor's telephone number (if known):

 

 

 

6b. Predecessor FEIN (if known):

 

 

6c. If your predecessor was liable in Alabama, enter their Alabama Unemployment Account Number (if known):

6d. Date acquired from predecessor:

6f. If yes, date discontinued:

6e. Did your predecessor discontinue business? YES

NO

7.List below TOTAL ALABAMA WAGES paid to all employees during each calendar quarter of each year from the date in Item 5b. Include remuneration paid to officers of corporations and wages of part-time employees for current year and previous year, if applicable.

8.List below, by type of employment, the number of individuals in your employ within each week. A month with five Saturdays is considered to have five weeks of employment. Include all part-time employees and officers remunerated by corporations.

 

 

 

 

WEEK

JAN

 

MAR

APR

 

JUN

JUL

 

 

SEP

 

OCT

NOV

DEC

 

 

 

 

FEB

MAY

AUG

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current

 

1st

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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FORM SR2

(Rev. 6-2012), CAT NO 53270 IMPORTANT: Please complete this application, Questions 1-14.

 

PAGE 1 OF 2

 

 

9.ITEM 9 MUST BE COMPLETED IN ITS ENTIRETY. Use the enclosed instruction sheet for Item 9 to complete Columns 1-5; refer questions to LMI at 334-954-7447. Please Be Specific. List each location and type of operation or activity separately. (Attach additional sheets if necessary.)

 

Column

Column

Column

Column

Column

Name

1

2

3

4

5

Location

 

 

 

 

 

Name and location -- Each unit in Alabama

Alabama

Employee

Indicate specific type of activity in detail

Enter

 

Enter "Statewide" if no permanent location

County

count per

See Instructions Sheet for Assistance

Percent

 

 

unit

 

 

 

 

 

 

 

%

 

 

 

 

 

%

 

 

 

 

 

%

%

9a.

Is the above work site primarily engaged in performing support or services for other work sites of the company? YES

NO

9b.

To whom are most of your products sold? GENERAL PUBLIC

CONSTRUCTION CONTRACTORS

RETAILERS

 

 

 

 

WHOLESALERS

OTHERS

(Specify)

 

 

 

 

 

 

 

 

 

10. Form of organization: INDIVIDUAL

PARTNERSHIP

CORPORATION

ASSOCIATION

ESTATE OR TRUST

LLC (see 10a.)

NON-PROFIT ORGANIZATION (see 10b.)

OTHER

(Specify)

 

 

 

 

 

 

 

10a. Indicate tax filing status with IRS (include all members and their social security numbers or Federal Identification numbers in Item 11)

CORPORATION

PARTNERSHIP

SOLE PROPRIETOR

DISREGARDED ENTITY

10b. Is the organization exempt under 501(c)(3) of the IRS Code? YES

NO

(If yes, submit a copy of the 501(c)(3) letter of exemption.)

11. For positive identification, list below the full name(s), social security number(s) and title(s) of individual owner, partners or officers.

Name

Social Security Number

Title

12.

If not otherwise subject, do you wish to voluntarily elect coverage under the Alabama Law? YES

NO

13.

Name and business location/physical address:

13a. Tax Preparer/CPA/Accountant:

Name of Applicant, Employer, Corporation, Partnership, Trust, etc.

Trade Name or Division (if different from above)

Physical Address

City

County

State

Zip

 

 

 

Area Code – Telephone

 

Area Code – Facsimile

 

 

 

 

Contact Person

 

 

 

 

 

 

 

Email Address

 

 

 

Name of Tax Preparer/CPA/Accountant

Trade Name or Division (if different from above)

Address

City

County

State

Zip

 

 

 

Area Code – Telephone

 

Area Code – Facsimile

 

 

 

 

Contact Person

 

 

 

 

 

 

 

Email Address

 

 

 

I certify the information provided on this application is true and correct to the best of my knowledge.

14. Business Name:Signature:Date:

NOTE: IF CPA, TAX PREPARER, ETC., IS ONLY SIGNATURE, PLEASE ENCLOSE POWER OF ATTORNEY.

FORM SR2 (Rev. 6-2012), CAT NO 53270 IMPORTANT: Please complete this application, Questions 1-14.

PAGE 2 OF 2

Form Specifications

Fact Name Fact Detail
Governing Law Alabama Code Title 25, Chapter 4 governs unemployment compensation.
Form Purpose The SR 2 form is used to determine employer liability for unemployment compensation.
Filing Requirement Employers must complete this application to provide necessary information.
False Statements Providing false information can result in fines or imprisonment.
Account Number Employers with a previous account must provide their Alabama Unemployment Compensation Account number.
Employment Types Employers must mark the type of employment: non-farm, agriculture, or domestic.
New Business Questions are included to determine if the employer is starting a new business or acquiring an ongoing one.
Wage Reporting Employers must report total Alabama wages paid to employees for each quarter.

Alabama Sr 2: Usage Guidelines

Filling out the Alabama SR 2 form is an important step for employers looking to determine their unemployment compensation liability. Once you have completed the form, you will submit it to the Alabama Department of Labor to ensure compliance with state regulations. Here’s how to fill it out step by step:

  1. Provide your employer name and mailing address.
  2. Enter your Federal Employer Identification Number (FEIN). This number is assigned by the IRS.
  3. Mark one type of employment: Non-farm, Agriculture, Domestic, or Government (State or Local). Remember, a separate form is needed for each type.
  4. Indicate if you have a previous Alabama Unemployment Compensation Account. If yes, provide the account number.
  5. State if you have employees located in another state. If yes, list the state(s).
  6. Answer if your firm is subject to the Federal Unemployment Tax Act (FUTA). If yes, provide the year liability first incurred and confirm if you have remained liable since that date.
  7. Indicate if you started a new business. If yes, provide the date Alabama employment began. If no, indicate if you acquired an ongoing business and provide the date payroll began.
  8. If applicable, provide information about the predecessor employer: Name, trade title, address, and phone number. Include the predecessor's FEIN and Alabama Unemployment Account Number if known.
  9. List total Alabama wages paid to all employees for each calendar quarter. Include wages for current and previous years.
  10. List the number of individuals employed each week by type of employment. Include all part-time employees and officers.
  11. Complete Item 9 in its entirety. Use the enclosed instruction sheet for assistance with Columns 1-5.
  12. Indicate the form of organization: Individual, Partnership, Corporation, Association, Non-Profit, or Other. Specify if necessary.
  13. List the full names, social security numbers, and titles of individual owners, partners, or officers.
  14. Decide if you wish to voluntarily elect coverage under Alabama Law.
  15. Provide your business name and physical address. Include the name and address of your tax preparer or accountant.
  16. Sign and date the application. Ensure that all information is accurate and complete.

After completing these steps, double-check your entries for accuracy. Once everything is in order, submit the form to the Alabama Department of Labor. This will help you stay compliant and avoid any potential issues down the line.

Your Questions, Answered

What is the Alabama SR 2 form?

The Alabama SR 2 form is an application used to determine liability for unemployment compensation in Alabama. Employers must complete this form to provide essential information regarding their business operations and employee counts. It is a critical step in ensuring compliance with Alabama's unemployment laws.

Who needs to fill out the Alabama SR 2 form?

What information is required on the form?

What happens if false information is provided?

How do I determine my unemployment account number?

What if I have employees in multiple states?

Is there a deadline for submitting the Alabama SR 2 form?

Can I get help filling out the Alabama SR 2 form?

What should I do after completing the form?

Common mistakes

When filling out the Alabama SR 2 form, individuals often make several common mistakes that can lead to delays or complications in processing their applications. Here are four mistakes to watch out for:

  1. Inaccurate Employer Information:

    Many applicants fail to provide accurate details regarding their employer name and mailing address. This information is crucial for the processing of your application. Double-check for typos or incorrect addresses that could lead to miscommunication.

  2. Neglecting to Answer All Questions:

    It is essential to answer all questions completely. Skipping questions, especially those regarding previous unemployment accounts or employee locations, can result in a rejection of your application. Ensure that you provide thorough responses to each item.

  3. Incorrectly Reporting Wages:

    Applicants often misreport total Alabama wages paid to employees. This section requires accurate figures for each calendar quarter. Failing to include all remuneration, or miscalculating amounts, can lead to discrepancies that complicate your application.

  4. Forgetting to Sign and Date the Application:

    One of the simplest yet most common errors is neglecting to sign and date the form. Without a signature, the application is incomplete and cannot be processed. Always review the form before submission to ensure it is fully signed.

By being aware of these common pitfalls, applicants can improve their chances of a smooth and efficient application process.

Documents used along the form

The Alabama Sr 2 form is a critical document for employers seeking to determine their unemployment compensation liability. However, it is often accompanied by several other forms and documents that help facilitate the process. Understanding these additional documents can ensure compliance and streamline the filing process. Below is a list of commonly used forms and documents alongside the Alabama Sr 2 form.

  • IRS Form W-2: This form reports wages paid to employees and the taxes withheld from them. Employers must provide this form to employees and submit it to the IRS annually.
  • IRS Form 940: This annual form is used to report and pay federal unemployment taxes. It helps determine the employer's liability under the Federal Unemployment Tax Act (FUTA).
  • IRS Form 941: Employers use this quarterly form to report income taxes, Social Security tax, and Medicare tax withheld from employee wages. It is essential for maintaining accurate payroll records.
  • Alabama Business License: This license is required for businesses operating in Alabama. It ensures that the business complies with state regulations and is legally permitted to operate.
  • Alabama Employer's Quarterly Wage Report: This report details the wages paid to employees during each quarter. It is vital for calculating unemployment insurance contributions.
  • Power of Attorney: If a CPA or tax preparer is signing the Sr 2 form on behalf of the employer, a Power of Attorney document is necessary to authorize them to act on the employer's behalf.
  • Alabama Employment Security Agency (AESA) Forms: Various forms may be required by the AESA for specific situations, such as employee claims or appeals related to unemployment benefits.
  • Employee Handbook: While not a formal requirement, having an employee handbook can clarify policies and procedures related to employment, including unemployment claims and benefits.
  • Tax Identification Number (TIN) Application: If a business is new or has undergone changes, it may need to apply for a TIN, which is essential for tax reporting and compliance.

In summary, the Alabama Sr 2 form serves as a foundational document for employers navigating unemployment compensation. However, the accompanying forms and documents are equally important, as they contribute to a comprehensive understanding of employment obligations and compliance requirements. Properly managing these documents can facilitate a smoother process for both employers and employees.

Similar forms

  • IRS Form 940: This form is used for reporting annual Federal Unemployment Tax Act (FUTA) taxes. Like the Alabama Sr 2 form, it requires information about employment and wages, ensuring compliance with federal unemployment tax regulations.
  • IRS Form 941: This quarterly form is for reporting income taxes, social security tax, and Medicare tax withheld from employee wages. It parallels the Alabama Sr 2 form by requiring wage information and employee counts for tax purposes.
  • State Unemployment Insurance (SUI) Application: Similar to the Alabama Sr 2 form, this application is used by employers to establish their unemployment insurance accounts at the state level, detailing employment type and wage information.
  • Employer Identification Number (EIN) Application (Form SS-4): This application is essential for businesses to obtain an EIN from the IRS. Both forms gather information about the business structure and ownership, establishing a record for tax purposes.
  • State Business License Application: This document is necessary for businesses to operate legally within a state. Like the Alabama Sr 2 form, it collects information on business type, ownership, and location to ensure compliance with state regulations.
  • Workers' Compensation Insurance Application: This application is required for businesses to obtain workers' compensation coverage. It similarly gathers details about employees and wages, ensuring adequate coverage for workplace injuries.
  • Form W-2: This form reports annual wages and tax withholdings for employees. Both the W-2 and the Alabama Sr 2 form involve detailed employee wage information, although the W-2 is focused on individual employee reporting.
  • Form 1099-MISC: Used for reporting payments made to independent contractors, this form shares similarities with the Alabama Sr 2 form in its requirement for accurate reporting of compensation and employment type.
  • State Sales Tax Registration: This registration is necessary for businesses that sell taxable goods or services. It parallels the Alabama Sr 2 form in that it requires information about the business's operational structure and employee engagement.
  • Business Partnership Agreement: This document outlines the terms of a partnership. Like the Alabama Sr 2 form, it requires detailed information about the partners involved and their respective contributions to the business.

Dos and Don'ts

When filling out the Alabama SR 2 form, there are several important dos and don’ts to keep in mind. Following these guidelines can help ensure your application is processed smoothly.

  • Do read the instructions carefully before starting.
  • Do provide accurate information for each section.
  • Do mark the appropriate type of employment clearly.
  • Do include your Federal Employer Identification Number (FEIN).
  • Do complete all required fields; missing information can delay processing.
  • Don’t leave any questions unanswered; each question must be addressed.
  • Don’t use abbreviations or shorthand that could confuse the reviewer.
  • Don’t submit the form without double-checking for errors.
  • Don’t forget to sign and date the application.
  • Don’t ignore the importance of providing supporting documents if required.

By following these guidelines, you can help ensure that your application is complete and accurate, reducing the chances of delays or issues in processing.

Misconceptions

Misconceptions about the Alabama Sr 2 form can lead to confusion for employers. Here are five common misunderstandings:

  • Only large businesses need to file the form. Many small businesses and even sole proprietors must also complete the Alabama Sr 2 form to determine their unemployment compensation liability.
  • Filing is optional. In fact, under Alabama law, you are required to furnish the information requested on this application. Failure to do so can result in penalties.
  • All types of employment can be included on one form. Each type of employment requires a separate form. This means if you have different employment types, you must file multiple applications.
  • Previous unemployment accounts do not matter. If you have a prior Alabama Unemployment Compensation Account, you must disclose this information. It can affect your current liability.
  • Only current wages need to be reported. The form requires you to list total Alabama wages paid to all employees during each calendar quarter, including the previous year if applicable.

Understanding these points can help ensure compliance and avoid unnecessary complications when dealing with unemployment compensation in Alabama.

Key takeaways

When filling out and using the Alabama SR 2 form, there are several important points to consider:

  • Complete All Required Sections: Ensure that you fill out all questions from 1 to 14, as incomplete forms may lead to delays in processing.
  • Provide Accurate Information: Any false statements or refusal to provide information can result in fines or imprisonment. Each day of refusal counts as a separate offense.
  • Separate Forms for Different Employment Types: If your business involves multiple types of employment, a separate SR 2 form must be submitted for each type.
  • Document Previous Accounts: If you have a previous Alabama Unemployment Compensation Account, include the account number to streamline the process.
  • Report Wages Accurately: List total Alabama wages paid to employees for each calendar quarter, including wages for part-time employees and corporate officers.
  • Consult the Instruction Sheet: Use the enclosed instruction sheet for guidance on completing Item 9, ensuring that you provide specific details about your business operations.

By following these key takeaways, you can ensure that your application is complete and accurate, facilitating a smoother process for determining your liability under Alabama unemployment compensation laws.