Indiana § 22-4-10-7.3 - Successor and predecessor employers; reports; transfer

§ 22-4-10-7.3. Successor and predecessor employers; reports; transfer

Sec. 7.3. (a) An employing unit, whether or not an employer at the time of transfer, that:

(1) acquires all or a portion of an employer's trade or business (including the employer's workforce), which results in the continuance of an organization, trade, or business; or

(2) merges, incorporates, or reorganizes the employing unit's business;

immediately qualifies as a covered employer under this article and assumes the position of the predecessor with respect to all the resources and liabilities of the predecessor's experience account.

(b) The successor and predecessor described in subsection (a) must complete all reports via employer self service or the current state form approved for such reporting. Reports must be filed by the earlier of thirty (30) days from the dispositions date or ten (10) days from a request for information by the department.

(c) An employing unit, whether or not an employer at the time of transfer, that:

(1) acquires a distinct and segregable portion of an organization, trade, or business; and

(2) retains assets, which may include the workforce or employees, or both, of that business;

shall be entitled to consider the wages reported by the predecessor when computing the tax base per employee, per calendar year.

(d) The predecessor described in subsection (c) must transfer a proportionate portion of its experience balance, and the merit rate, to the successor described in subsection (c) by:

(1) the earlier of thirty (30) days from the date of disposition; or

(2) not later than ten (10) days after notification from the department.

The employers must complete all reports in the manner and form prescribed by the department. Failure to complete the required forms shall result in the department making an independent determination with regard to the percentage of the transfer of the predecessor's experience balance to the successor's experience balance.

As added by P.L.121-2026, SEC.18.