Tesla resolves Nevada tax lawsuit, blames clerical error

Brittany A. Roston - Oct 9, 2018
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Tesla resolves Nevada tax lawsuit, blames clerical error

News recently surfaced that Tesla had been sued by the state of Nevada over an allegedly unpaid $655,000 unemployment tax bill. Soon after, Tesla has issued a statement on the matter, explaining that it has been resolved and that a clerical error resulted in the legal issue. A Nevada government agency has confirmed the news.

The lawsuit news was first reported by Bloomberg, which has updated its report on the matter to say that everything is now resolved. The automaker is said to have processed the tax payment today, settling the legal matter that itself is said to result from an unspecified clerical error.

The matter is reported to have involved unemployment tax, which the automaker has been discussing with state officials following the addition of SolarCity employees. The Nevada Department of Employment confirmed to Bloomberg that the matter is being resolved. Tesla has a Gigafactory located near Reno in the state.

A full statement provided to The Verge reads:

Since Tesla acquired SolarCity and incorporated all of its employees, we’ve been in discussions with states over new unemployment insurance contribution rates, which is typical in acquisitions like this. This judgment is the result of a clerical error, and we have processed this payment today to reflect the latest unemployment insurance contribution rates. Over the past 18 months, Tesla has already paid over $3.3 million in unemployment taxes to Nevada.

SOURCE: Bloomberg


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