23-617

23-617. Exempt employment; definition

"Exempt employment" means employment not considered in determining whether an
employing unit constitutes an "employer" under this chapter and includes:

1. Agricultural labor as defined in section 23-603 unless such labor is performed
for an employing unit which after December 31, 1977 either:

(a) For some portion of a day, but not necessarily simultaneously, in each of
twenty different calendar weeks, whether or not the weeks are or were consecutive, in
either the current or the preceding calendar year, employed in agricultural labor at
least ten individuals irrespective of whether the same individuals were employed in each
such day.

(b) In any calendar quarter in either the current or preceding calendar year paid
cash wages of twenty thousand dollars or more for agricultural labor.

2. Domestic service in a private home, local college club, or local chapter of a
college fraternity or sorority unless performed after December 31, 1977, for an employing
unit which in any calendar quarter in either the current or preceding calendar year paid
cash wages of one thousand dollars or more to individuals employed in such service.

3. Service performed on or in connection with a vessel or aircraft that is not an
American vessel or American aircraft, if the employee is employed on and in connection
with such vessel or aircraft when outside the United States.

4. Service performed by an individual in the employ of the individual's son,
daughter, or spouse, and service performed by an individual under the age of twenty-one
years in the employ of the individual's father or mother.

5. Service performed in the employ of the United States government or an
instrumentality of the United States which is wholly or partially owned by the United
States or which is exempt from the tax imposed by section 3301 of the federal internal
revenue code, except that to the extent Congress shall permit states to require
instrumentalities of the United States to make payments into an unemployment fund under a
state unemployment compensation law, all of the provisions of this chapter shall be
applicable to such instrumentalities, in the same manner, to the same extent and on the
same terms as to all other employers, employing units, individuals and services, but if
this state is not certified for any year by the secretary of labor of the United States
under section 3304 of the federal internal revenue code, the payments required of such
instrumentalities with respect to the year shall be refunded by the department from the
fund in the same manner and within the same period as is provided in section 23-742 with
respect to contributions erroneously collected.

6. Service performed in the employ of another state, or any political subdivision
thereof, or an instrumentality of one or more thereof which is wholly owned by one or
more other states or political subdivisions and which exercises only governmental as
distinguished from proprietary functions, and service performed in the employ of any
political subdivisions of this or any other state to the extent the instrumentality, with
respect to such service, is exempt under the Constitution of the United States from the
tax imposed by section 3301 of the federal internal revenue code, except that part of
such service performed in the employ of any of the foregoing which is "employment" under
section 23-615, paragraph 6. But any state, or a political subdivision thereof, or
instrumentality of any one or more of the foregoing which is wholly owned by one or more
states or political subdivisions may elect coverage whether or not the service performed
is governmental or proprietary for any such state or political subdivision thereof or any
instrumentality thereof or any department thereof in the manner prescribed and subject to
the terms of section 23-725, and such election may exclude any services described in
section 23-615, paragraph 6, subdivision (d). This state or any instrumentality or
political subdivision of this state may appropriate funds to pay contributions or
payments in lieu of contributions as required by this chapter.

7. Service with respect to which unemployment compensation is payable under an
unemployment compensation system established by an act of Congress.

8. Service performed in any calendar quarter in the employ of an organization
exempt from income tax under section 501(a) (other than an organization described in
section 401(a)) or under section 521 of the federal internal revenue code, if the
remuneration for such service is less than fifty dollars.

9. Service performed in the employ of a school, college or university, if the
service is performed either:

(a) By a student enrolled and regularly attending classes at the school, college or
university.

(b) By the spouse of such a student if the spouse is advised at the time the spouse
commences to perform such service that the employment is provided under a program to
provide financial assistance to the student by the school, college or university and the
employment will not be covered by any program of unemployment compensation.

10. Service performed in the employ of a corporation, community chest fund, or
foundation, organized and operated exclusively for religious, charitable, scientific,
testing for public safety, literary, or educational purposes, or for the prevention of
cruelty to children or animals, no part of the net earnings of which inures to the
benefit of a private shareholder or individual, no substantial part of the activities of
which is carrying on propaganda or otherwise attempting to influence legislation, and
which does not participate in or intervene in (including the publishing or distributing
of statements) any political campaign on behalf of any candidate for public office;
provided that services performed in the employ of an organization operated for the
primary purpose of carrying on a trade or business for profit shall not be exempt on the
ground that all of its profits are payable to one or more organizations exempt under this
paragraph, and further provided that services exempt under this paragraph shall not
include services performed for an employing unit with respect to which the employing unit
is liable for any federal tax against which credit may be taken for contributions
required to be paid into a state unemployment compensation fund, and further provided
that services exempt under this paragraph shall not include services which are
"employment" under section 23-615, paragraph 6.

11. Services performed as a student nurse in the employ of a hospital or a nurses'
training school by an individual enrolled and regularly attending classes in a nurses'
training school chartered or approved pursuant to state law, and service performed as an
interne in the employ of a hospital by an individual who has completed a four years'
course in a medical school chartered or approved pursuant to state law.

12. Service performed by an individual for an employing unit as an insurance
producer, if all such service performed by the individual for such employing unit is
performed for remuneration solely by way of commission.

13. Service performed by an individual under the age of eighteen in the delivery or
distribution of newspapers or shopping news, not including delivery or distribution to
any point for subsequent delivery or distribution, and service performed by an individual
in, and at the time of, the sale of newspapers or magazines to ultimate consumers under
an arrangement by which the newspapers or magazines are to be sold by the individual at a
fixed price, the individual's compensation being based on the retention of the excess of
such price over the amount at which the newspapers or magazines are charged to the
individual, whether or not the individual is guaranteed a minimum amount of compensation
for such service, or is entitled to be credited with the unsold newspapers or magazines
turned back.

14. Service performed by an individual for an employing unit as a licensed real
estate broker or a licensed cemetery broker or a licensed real estate salesman or
licensed cemetery salesman, if all such service performed by the individual for such
employing unit is performed for remuneration solely by way of commission, except that any
service performed as a real estate broker, a cemetery broker, a real estate salesman or a
cemetery salesman for an employing unit to which the provisions of section 23-750 apply
is not exempt employment.

15. Service performed in the employ of a foreign government including service as a
consular or other officer or employee or a nondiplomatic representative.

16. Service performed in the employ of an instrumentality wholly owned by a foreign
government if both:

(a) The service is of a character similar to that performed in foreign countries by
employees of the United States government or of an instrumentality thereof.

(b) The department finds that the United States secretary of state has certified to
the United States secretary of the treasury that the foreign government with respect to
whose instrumentality exemption is claimed grants an equivalent exemption with respect to
similar service performed in the foreign country by employees of the United States
government and of instrumentalities thereof.

17. Service covered by an arrangement between the department and the agency charged
with the administration of any other state or federal unemployment compensation law
pursuant to which all services performed by an individual for an employing unit during
the period covered by the employing unit's duly approved election are deemed to be
performed entirely within such agency's state.

18. Casual labor not in the course of the employer's trade or business.

19. Service performed by an individual for an employing unit as a securities
salesman, if all such service performed by the individual for such employing unit is
performed for remuneration solely by way of commission, except that any service performed
as a securities salesman for an employing unit to which the provisions of section 23-750
apply is not exempt employment.

20. During any period in which it does not meet the definition of employment in
section 23-615, paragraph 8, service performed by an individual who is enrolled at a
nonprofit or public educational institution which normally maintains a regular faculty
and curriculum and normally has a regularly organized body of students in attendance at
the place where its educational activities are carried on as a student in a full-time
program, taken for credit at such institution, which combines academic instruction with
work experience, if such service is an integral part of such program, and such
institution has so certified to the employer, except that this paragraph shall not apply
to service performed in a program established for or on behalf of an employer or group of
employers.

21. Service performed in the employ of a hospital if such service is performed by a
patient of the hospital.

22. Service performed by individuals solely to the extent that the compensation
includes commissions, overrides or profits realized on sales primarily resulting from the
in-person solicitation of orders for or making sales of consumer goods in the home,
except that any such service performed by an individual for an employing unit to which
the provisions of section 23-750 apply is not exempt employment.

23. Services performed by an individual for an employing unit in the preparation of
tax returns and related schedules and documents, if all such services are performed for
remuneration solely by way of commissions, independent of the control of the employing
unit, other than that required by the internal revenue service for correct preparation of
such returns, except that any such service performed by an individual for an employing
unit to which the provisions of section 23-750 apply is not exempt employment.