GMS Named Certified Professional Employer Organization by IRS
Group Management Services announced today that they have been named a Certified Professional Employer Organization by the United States Internal Revenue Service.
The designation was created as a provision of the Small Business Efficiency Act in 2014. This makes the CPEO solely responsible for payroll taxes and penalties and assures clients that they are partnering with a financially responsible and stable organization.
“We’ve completed this rigorous certification process with in depth financial reviews and audits of our business processes as well a thorough background check of our upper management,” said Mike Kahoe, President of GMS. “This shows our customers and prospects that the IRS is holding us to a certain standard, which helps legitimize our growing industry.”
What it Takes to be a CPEO
Of the estimated 300 PEOs in the U.S., GMS is one of only 37 to be named as a CPEO. To be approved for CPEO status, GMS was required to…- Qualify for a $1,000,000 surety bond
- Go through quarterly audits of payroll taxes paid
- Demonstrate positive working capital
- Complete financial audits of the company
- Pass background checks of the company and its officers