IRS Guidance Announces Date for Voluntary Certification Program

Applications Accepted Starting July 1, 2016

The IRS yesterday provided preliminary information pertaining to the professional employer organizations (PEOs) voluntary certification program that was created by late-2014 legislation.PEOs are defined as organizations "[that] handle various payroll administration and tax reporting responsibilities for their business clients."

Those receiving and maintaining the credential are expected to meet specific criteria, including

• Tax status

• Background

• Experience

• Business location

• Financial reporting

• Bonding

While another revenue procedure outlining the application process will be released closer to July 1, IR-2016-74 announces temporary regulations that are available for review in the Federal Register. Those wishing to leave feedback about the proposed regulations must do so before August 4, 2016.

Source: Internal Revenue Service