CONROE, Texas--(BUSINESS WIRE)--Questco, a leading outsourced HR solutions provider, has been named a Certified Professional Employer Organization (CPEO) by the United States Internal Revenue Service. To achieve and maintain CPEO certification, Questco must meet specific IRS requirements surrounding tax compliance, background reports, industry experience, financial reporting, audit examination and bonding.
CPEO certification provides regulatory and cost certainty for current and potential Questco clients. Specifically:
- Some wage base tax restarts are eliminated. A CPEO has successor employer status for federal payroll taxes, which means that a business that contracts with a CPEO during the year will not face double taxation on FICA and FUTA.
- Tax liability is clarified. A CPEO is solely liable for the federal employment taxes paid to worksite employees. Once the CPEO invoice that includes these taxes is paid by the client, the IRS can only collect these taxes from the CPEO.
- Tax credit eligibility is continued. A client that uses the services of a CPEO remains eligible for certain specified federal tax credits.
“Our CPEO certification provides lasting peace of mind to our clients and makes it even easier to begin a new relationship with Questco,” said Jason Randall, CEO, Questco Companies. “We are proud of our ongoing commitment to our clients’ success, and becoming a certified PEO is another tangible way for us to show this commitment.”
About Questco
Questco (www.questco.net), is a premier PEO that provides outsourced human resource solutions, enabling its small and medium-sized business clients to contain costs, relieve administrative burden and enhance the employee experience. Located in metro Houston, Texas, the company features a comprehensive set of offerings that include access to large group medical benefits and group workers’ compensation insurance, expert HR advice, access to proven HR technology, payroll, tax and benefits administration, employee liability and risk management programs, 401(k) programs, and other outsourced solutions to support the business goals of its clients.
The IRS does not endorse any particular certified professional employer organization. For more information on certified professional employer organizations, go to www.irs.gov/cpeo.