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Just saw the letter from NYS saying I owe 1000+ for claiming UI for 2021. I never claimed as I run my own business in NYC and file a Schedule C every year with my taxes. It says I need to pay it by OCT 18. Do I pay it?

When I try to goto the NYS labor website and try to get my 1099G I get the error:

"You used a different NY.gov username in the past. Please log in with that username instead. If you have forgotten that username, please sign out and select "Forgot Username" to retrieve it."

Since I never claimed it, there's no way for me to know what username was used. What do I do in this scenario to see what was submitted?

I also downloaded and filled this 1099g review form:

https://dol.ny.gov/system/files/documents/2021/12/lo1099rq_12-21.pdf

It says to submit it on the online message panel when you login, but I don't see any options to select "Request for 1099-G Review (LO1099RQ)" anywhere in the subject drop down box. I can't even attach the file. It seems like these government systems are totally broken or badly maintained.

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    Sounds like your are a victim of fraud. I'd give NY a call.
    – minou
    Oct 12, 2022 at 19:21
  • Did you get any notification of unemployment insurance benefits being paid to you? Maybe you got a notice and just tossed it? A different State but in 2021 the Illinois Department of Employment Security was hit with a huge number of fraudulent claims for unemployment insurance on behalf of retirees from the State (perhaps a database of the State retirement system was hacked). I was affected personally, finding out when I got a request for the address to which the debit card for for paying unemployment benefits should be sent. It took months and numerous phone calls to get the mess sorted out. Oct 12, 2022 at 20:58
  • Someone tried filing for unemployment under my SSN, as well. I reported at dol.ny.gov/report-fraud and had no subsequent issues.
    – ceejayoz
    Oct 13, 2022 at 13:51
  • @ceejayoz did you pay the amount due until they sorted it out? My payment is due tomorrow and I'm not sure if I should pay it or just wait it out. Also what did they say in reply to your submitted fraud case? Oct 17, 2022 at 15:44
  • @Patoshiパトシ I would file the fraud report, then file the review application referencing that fraud report. No one got back to me that I recall; it just went away.
    – ceejayoz
    Oct 17, 2022 at 15:52

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When you employ someone and later lay them off or fire them without strong reason, they get unemployment benefits. The employer must pay a fraction of that. You are being charged for this.

If that system is totally new to you and you never created an account there, then it sounds like someone else did using your business information. This is identify theft. Then they created a fake employee and a fake unemployment claim in order to swindle the state.

You should contact the state immediately and report the fraud. You might also consider filing a John Doe (defendant not yet identified) lawsuit against the fraudster for whatever tort you can come up with. Why do that? Credibility.

The office that deals with employee-employer disputes deals with an awful lot of them. A lot of small business owners who don't understand how the system works, are wrong in fact and/or law, etc. They deal with so many cases they all start to look the same after awhile, so they could get complacent and call it "what it smells like". A filed lawsuit gets attention and makes them notice. It's one thing to claim you got hacked, but quite another to swear it in a suit.

I wouldn't actually take the suit anywhere unless discovery reveals a ripe target. After all, you're dealing with criminals, and you never know what they'll do.

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  • There was a lot of this fraud related to the pandemic--they were being overwhelmed and didn't have the resources to check things very well. Oct 14, 2022 at 3:09

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