FACTS:                    

N/A

ISSUE:                      

Are independent contractor licensees who receive only 1099 income entitled to federal unemployment benefits in light of the coronavirus pandemic.

ANSWER:                

See discussion.

DISCUSSION:         

Generally, independent contractors are not entitled to state unemployment benefits.  However, the federal Pandemic Unemployment Assistance (PUA) program is available to 1099 independent contractors.  The benefit is $600 per week and the amount received is taxed as normal income.  Licensees who are independent contractors that qualify can apply for PUA benefits through the Arizona Department of Economic Security.