Utah General Contractors - Business and Law Practice Exam

What is the aim of New Hire Reporting?

1. To collect taxes

2. To detect benefits fraud

3. To enforce child support orders

4. Both b and c

The correct answer is: Both b and c

The aim of New Hire Reporting is primarily to assist in the enforcement of child support orders and to help detect benefits fraud. When employers report information about newly hired employees to the state, it enables the state to quickly identify individuals who may have child support obligations. This facilitates the enforcement of those obligations, ensuring that children receive necessary financial support from non-custodial parents. Additionally, by collecting information about new hires, the system can help prevent fraudulent claims for benefits, such as welfare or unemployment benefits, by making it harder for individuals to hide income or employment status. Therefore, the combination of detecting benefits fraud and enforcing child support orders accurately captures the purpose of New Hire Reporting, making this response the most comprehensive and contextually relevant.