SDCL § 61-5-70: Cancellation of uncollectible unemployment insurance contributions.

If any liability was established under § 61-5-35, as well as interest, penalties, or fees remain unpaid by an employer ten years or more after the liability was established and reasonable efforts have been made to recover the liability, the secretary may declare the sums uncollectible and cancel the liability if satisfied there are no available means of collecting the liability. The secretary may declare at any time as uncollectible any amount due from an employer for which liability was established under § 61-5-35, as well as interest, penalties, or fees remain unpaid upon receipt of proper certification by a Department of Labor and Regulation representative that the liability is uncollectible due to death or bankruptcy.