Arkansas unemployment fraud has two very different readers: the person who just got a letter or a 1099-G for a claim they never filed, and the claimant who wants to know what the state counts as fraud and what it costs.
This guide covers both — how to report Arkansas unemployment fraud, the identity-theft steps, how to get a corrected 1099-G, what counts as claimant fraud, the penalties and disqualification, and when it becomes a criminal case. Verified against Arkansas Division of Workforce Services as of October 2026.
Arkansas Unemployment Fraud at a Glance
| Report fraud | https://dws.arkansas.gov/unemployment/reporting-ui-fraud |
| Hotline | 501-682-1058 |
| Disqualification | Starting October 1, 2023, a fraud overpayment of 1000 or more generally disqualifies a person from benefits for 10… |
| Criminal charge | The agency sends fraud cases to local prosecutors, who usually charge Theft of Public Benefits (Ark. Code § 5-36-202). |
In This Arkansas Unemployment Fraud Guide:
How to Report Arkansas Unemployment Fraud
Report it at https://dws.arkansas.gov/unemployment/reporting-ui-fraud or call 501-682-1058. Reports can be made anonymously; the agency investigates both claimant and employer fraud.
Arkansas Unemployment Fraud in Your Name: If Someone Else Filed
- Report the claim right away using the secure fraud reporting form on the Arkansas unemployment agency website, by email to [email protected], or by calling the Fraud Hotline at 501-682-1058 (leave a message if no one answers; voicemail is checked daily)
- File a report with your local police department; the state’s identity-theft letter asks for it within 7 days
- Send a copy of the police report and your state-issued photo ID to the agency by email, or bring them and the agency letter to your nearest Arkansas Workforce Center
- Change the passwords on your email, banking and other personal accounts
- Think about placing a fraud alert or a security freeze with the national credit bureaus
- Once you have reported, you can disregard any further automated notices about the claim
Getting a Corrected 1099-G
The state’s identity-theft letter says an unresolved fraudulent claim may lead to an IRS 1099-G for any benefits paid. The state says payments on a reported fraudulent claim will not count as your income for the year. Arkansas does not publish a separate correction form. Most victims finish the identity-theft steps first, then ask the Fraud Hotline (501-682-1058) for a corrected 1099-G.
The IRS says to report only income you actually received if the corrected form is late.
What Counts as Arkansas Unemployment Fraud by a Claimant
The state treats it as fraud when someone knowingly gives false information, or holds back facts, to get or keep benefits. The most common example is working while claiming without reporting the work and earnings each week. Others are reporting job contacts or availability that are not real, giving a false reason for leaving a job, and not reporting anything that could affect eligibility.
Full-time work (at least 40 hours in a week) means you must stop filing.
Arkansas Unemployment Fraud Penalties and Disqualification
Repayment of every dollar, a monetary penalty on top, and penalty weeks of future benefits forfeited. Starting October 1, 2023, a fraud overpayment of 1000 or more generally disqualifies a person from benefits for 10 years (Ark. Code § 11-10-519, as amended; 2026 UI Handbook). Willful false statements or hidden facts on a claim also lead to disqualification under § 11-10-519(a)(1).
The state may also take your state and federal tax refunds to repay the debt.
When Arkansas Unemployment Fraud Becomes a Criminal Case
The agency sends fraud cases to local prosecutors, who usually charge Theft of Public Benefits (Ark. Code § 5-36-202). Under the version of the statute found, 500 or less is a Class A misdemeanor, more than 500 but less than 2500 is a Class C felony, and 2500 or more is a Class B felony. Confirm the current thresholds in the official Arkansas Code.
📨 Get Free Unemployment And Workplace Rights Guides Alerts
Free · No spam · Unsubscribe anytime
Employer-Side Arkansas Unemployment Fraud
Misclassifying employees as contractors to avoid unemployment tax, or shifting payroll to dodge a higher rate, is employer fraud — workers can report it to the same agency.
Honest Mistakes Are Not Arkansas Unemployment Fraud
An honest error is generally treated as a non-fraud overpayment. You still owe the money back (Ark. Code § 11-10-532, since October 1, 2019), but no fraud interest is charged. Fraud requires knowingly giving false information. If you made a mistake on a weekly claim, call the UI hotline at 1-844-908-2178 to correct it, and appeal any earnings notice by its deadline.
Arkansas bars benefits for 10 years when fraud totals 1000 or more (effective October 1, 2023), which is much longer than many states. Identity-theft victims are asked to file a police report within 7 days and bring photo ID to an Arkansas Workforce Center to stop payments. Arkansas’s own messages come only from @arkansas.gov email addresses.
Related: if the state says you were overpaid on your own claim, that is a different process — see the Arkansas overpayment guide for waivers, repayment plans and the appeal deadline.
Arkansas — the bottom line
- Report Arkansas unemployment fraud the same day you suspect it — an unreported claim in your name becomes an overpayment in your name.
- Arkansas unemployment fraud by a claimant means a knowing false statement; an honest mistake corrected promptly is not fraud.
- Penalties for Arkansas unemployment fraud stack: repayment, a monetary penalty, penalty weeks, and in large cases a criminal referral.
Frequently Asked Questions
How do I report unemployment fraud in Arkansas?
Use the state fraud page (https://dws.arkansas.gov/unemployment/reporting-ui-fraud) or call 501-682-1058.
Someone filed for unemployment in my name in Arkansas — what do I do?
Report the claim right away using the secure fraud reporting form on the Arkansas unemployment agency website, by email to [email protected], or by calling the Fraud Hotline at 501-682-1058 (leave a message if no one answers; voicemail is checked daily); File a report with your local police department; the state’s identity-theft letter asks for it within 7 days;
Send a copy of the police report and your state-issued photo ID to the agency by email, or bring them and the agency letter to your nearest Arkansas Workforce Center; Change the passwords on your email, banking and other personal accounts; Think about placing a fraud alert or a security freeze with the national credit bureaus; Once you have reported, you can disregard any further automated notices about the claim
What is the penalty for unemployment fraud in Arkansas?
Repayment plus a monetary penalty and penalty weeks; large or repeated fraud can be charged criminally.
Is an honest mistake on a weekly claim fraud in Arkansas?
An honest error is generally treated as a non-fraud overpayment. You still owe the money back (Ark.
Official Arkansas Sources & Resources
- Arkansas Division of Workforce Services: https://www.dws.arkansas.gov/unemployment/
- Report unemployment fraud in Arkansas: https://dws.arkansas.gov/unemployment/reporting-ui-fraud
- Arkansas unemployment statute: Ark. Code 11-10
- U.S. Department of Labor — Unemployment Insurance: dol.gov
- IRS — Form 1099-G: irs.gov
This Arkansas unemployment fraud guide was last verified against official Arkansas sources in October 2026. Rules change — confirm the current figure with the state agency or a licensed attorney.
More Arkansas Unemployment Guides
- Arkansas Unemployment Overpayment: Waivers and Repayment
- Arkansas Unemployment Appeal: Deadline and Hearing
- Arkansas Unemployment Benefits: How Much and How Long
- Unemployment Guides for All 50 States
Disclaimer: This guide is general information, not legal or financial advice. My Unemployment Rights is an independent educational resource, not a government agency and not a law firm. Unemployment benefit amounts, deadlines and rules change — every figure here carries the date we verified it. Confirm the current figure and any deadline with your state unemployment agency before you act.