# ,T'EEATTORNEY GENERAL
ow TEXAS
AUSTIN.TE-Honorable Orville S. Carpenter. %gb Z

manager. For the pe.rt-time mamaguriol wcrk. the company paid itr manag”s a regular saleryi for Vie oellicg of insurance. it p4id them the c\utornay commfseioa.
“The comprg paid contributions to t.hLc **Ccmmnimicn** upoa the total combined salary and comxnis~inn **romunera** tim of the managers **for** the **period** Janwry 1.1537 - hGrch 31. 193% 00 July 20. E37. the company made 

## l pplkatton to the Commfuion for refund d all coatributions paid upon commiuioM paid to manngore fer selling iIUurW&ce during the period 

### &et mentioned. admitting 

### that contributionr **baaed on**  **‘ the**  **salary portlam**  **of the**  

### rcmuaeratior.**of swh**  managcn were properly mode. The application is based up06 the compunf~ contention 

### that Subsection 1s (8) (6) (I), being hrticlo STtlb-17 (0) (6) (I), LL appUc8blc to the period of 

### time under coluideratiaq doe8 

### not impost upon the **com** pany any liability for contributions ga Bucb commiuhna
u oppoud to salary.

‘Oa February 9,lCff. the Attorney Cenerrl of Texre. through w. 35.-McbAilha. Auistant Attorney Goueral, held that the Legislature Mended to exempt from contributions only the compensation of tb.ose agate who arc paid entirely on a commluba baeie and that coatrtbutiano on both salrry 

### a ad c ommbsloa

of l acll 

### agoat ia tlrr, .orithxl9f agoats &oW drrcribcd were ye&red. We wtid Lb.8 to have this qtleatioa **rtemuidered ud**  **be furahhed**  **with** 

### your **opinion u**  **to** 

### whether the Coayniuioa may 

### refuad coatributious **pald** 

### upon cotnmlssion **paid** to the 

### l bove described htsurancc agents wbu compenration 

### con&ted of both s&ary uxl coanmicpleas.

‘Regulation No. 47. **dealing rith**  **i~~ormtce qgcnto**  **rod** quoted **la ta+**  **opialoo dated**  February **Y.1937, wu**  **curled over**  verbatim u iieguhtion 33 in the Keg-datioar &opted by the CammIssion 011 July a, 8937. Re@otion No. 38, adopted July f,1537, deals with refuade. It was supereeded on September 5, lSifS, by the prusont Rqfulation NV. 39.”
**Prior** to April 1. 

### 1539. 5ubuctiou (r) (5) of Section lci of the Texas Unemployment Compoasation 

### Act, same being ids 1536, 44th Leg., frd C.S., page lCc;S, Cii. 482. read as followo:

**‘ In**  **determining** 

## l **mpleyoes** 

### uader **this Act**  **and** ia **de term** * employer8 under thio Act, end tn determiuinp wager aader tbic Act. aeitber term *ball tackada employmeat of or sewice by agent8 of iaeurrsce canpenies whoKsnor8ble Grvillt 3. Carpenter, gags 3

collect their compuu~ticm on a commission basis (fixpsalqd **+rll** 1, 19 34):
The contributiow ia quo8tien were paid upon the combiard 

## l alrry end commio.sioa rernuncrati~w of tlwrr ageat who 

### acted io L dusl cafkclty, t&at of agent aad maaager, for the **puriod** between **Jam** 

### my 1.15’97. 

### andh:rrch fl, 1938. 

### Therefore. the above quoted Subectioa et the Uaemplaqmrat Compan8atioa 

### Act W*B ia effect when the coatrfbutiow **ia qwrtloa**  

### wore Hid.

Ia in opini& rendered **on** Febwnr7 4.1537. an Assistant Attorney 

### Gowral ruled that the Lcgirlature iateaded to exempt onlg those employee8 rccriviag c~atiop 8olel9 oa 8 CofXJmiBSiOn **bacis. ;re**  

### qwtqfr om l **id** 

### O$aion. **fa** **p*rt,** **u followc:** 


### ëThe qwstian presented fn this l ctton

is **whether** the Legislature Intended to exempt from ceatributloa8 

### only those agentnp&identirely OL a commi8rlon bari8
or all *peats paid in **wy part**  hy eommi88ion. It is **my** opinion that the kgklature fateaded to 

### exempt c&y tho60 employee8 recciviag compoasatloa 8olely oa eommluioa. To hold otberwi8e waald h;r*e UK 

### effect of exempting 141

the apnts of 

### iasurraca **compaaiu** who collect y portion ol 

### their **compqWatlw** 

### on mcommirsioa ba818, no **matter** how nmall the eommluim or bo~w 

## large the l alo ry. Not 0aIy doer; tbis subsecticm rxempt 

## iasura ace comp8aiu 

### from payment of contributieas aa comrnicrioaa but aIso exampta such weat u employee8 

### uader 

## this Act, a8d tlwlr emplgrs 

## as

l sqdoyun under tb Act. Thlo world allow fauarsace comp8aW an 

### opportu8ity to pay ail 

### tbelr ageat a 8mall commluiw, which providial they did aot have u maay u eight other 8mployee8. weuld 

### l

aablc them to 8toid eontributioas under the Texas Uaernplsymont c0m$#S8tlaor /.ct.-
Ths.Tcx88 Unemployment Compon8aUon Act. a8 it read prior 

### to April 

### I, 1939, 

### rtprdred tlmttbc employer paid coatributicn6 011 the remuneralloo paid to its empbyee8. Thi8 would include tbo 8&lry paid to tbc ineurwwr 

### l aleamm for Us **maaagarial** 

### dutlos. The above mtnttowd ,kct clearly excludes the payment sf coalributioaa otl the, comduioan of inswancc agents tr relaemea vbo are comperuated
**on a**  **commission** 

### basis,

Sfacr the Act excladea the paymeat of c-rib&ion8 **by** 

### the employer ea the couunfeeioa paid to agents who are **compen8ated GUI**  a commiaeion bash, we are of the opinion that the coatributha or tar

### APPROVRD ro)i la, 1948

(Sgd.) Guld c.. Mau ATTOUIVEY **6ElyrRAL OF** 

**rrxAs**