Unemployment compensation for business owner?

[ILLMAS]

One of my client called to today to let me know he has no business right now and if he can collect unemployment compensation like his other employees. He is on the payroll, the business pays SUTA for everyone includiing the owner, is there any restriction on the owner collecting unemployment? This is a contruction company. I checked the IL Dept of employment security, but couldn't find an anwser.

Thanks

[kcjenkins]

Most states do not allow owners to claim it, but a few do, if it was paid. Worth checking in to. Try calling them and asking who is exempt from paying it. If they say 'owners are exempt', then you know they are not covered by it.

[TaxmannEA]

I had a client for years that was a single shareholder C-Corp and had himself on the payroll. When the work would stop for a while, he would file and draw unemployment with no problem. This was in Illinois also.

[JohnH]

It can be done in NC.

Sometimes the standard of proof is a little higher for an owner/shareholder, but as long as they are legitimately without work they have the same right to collect unemployment as any other employee.