Ohio § 5747.073

§ 5747.073.

(A) As used in this section: (1) “ Bulk filer ” means a payroll service provider or similar entity that is registered with the tax

commissioner to submit employer withholding tax returns in accordance with this section. (2) “ Payroll service provider ” means a third party that assists an employer with payroll administration and state

employer withholding tax obligations.  A payroll service provider may include a professional employer organization or alternate

employer organization. (3) “ Client company ” means an employer on whose behalf a bulk filer agrees to submit employer withholding

returns in accordance with this section. (B)(1) An employer may elect to use a bulk filer to comply with its state and school district

income tax withholding obligations under this chapter. (2)(a) Within five days after becoming a client company, the employer shall notify the tax

commissioner, in a format prescribed by the commissioner, of the name of the approved

bulk filer it is electing to use and the taxes the bulk filer will be remitting on

its behalf. (b) When using a bulk filer, the client company shall maintain all registrations required

by the tax commissioner related to electronic filing and payment of the amounts described

in divisions (A) and (E) of section 5747.06 of the Revised Code . (C)(1) The tax commissioner shall approve each bulk filer before the bulk filer can file

withholding tax returns on behalf of client companies.  The commissioner shall prescribe guidelines and conditions of participation in the

bulk file program that include standards of conduct, software tests, and file formats. (2) The commissioner shall maintain a list of approved bulk filers on the department

of taxation's official web site.  Such information is not prohibited from disclosure under section 5703.21 of the Revised Code . (3) Each bulk filer shall comply with all requirements of law pertaining to employers

maintaining an office or transacting business in this state and paying compensation

to an employee who is a taxpayer. (4) A bulk filer that is not a professional employer organization, professional employer

organization reporting entity, or alternate employer organization shall file a report

in the same manner and frequency as required of a professional employer organization,

professional employer organization reporting entity, or alternate employer organization

under division (J) of section 5747.07 of the Revised Code .  For purposes of this division, “client company” shall be substituted for “client

employer” wherever “client employer” appears in that division. (D) All returns, reports, and payments filed or remitted by a bulk filer shall be made

through an electronic means as prescribed by the tax commissioner, regardless of the

bulk filer's number of client companies, or the number of returns, reports, or payments

being filed or remitted.  The bulk filer shall register for and maintain all accounts needed to electronically

make such filings and payments. (E)(1) A bulk filer's authorization under this section is valid until either of the following

events occurs: (a) The bulk filer dissolves, loses its existence as the result of a merger, or otherwise

ceases business; (b) The authorization is rescinded or suspended by the tax commissioner for failure to

meet the guidelines and conditions of participation in the bulk file program, including

any guidelines or conditions established or modified after the bulk filer receives

its authorization. (2) A bulk filer shall notify its client companies within five days after the bulk filer's

authorization is rescinded, suspended, or is otherwise no longer valid or active.  If an entity no longer meets the requirements to be a bulk filer, the client companies

of the former bulk filer shall immediately resume their state and school district

withholding filing and payment obligations under this chapter. (F)(1) The tax commissioner may collect past due amounts from a bulk filer, including penalties

and interest thereon, by assessment under section 5747.13 of the Revised Code as if the amounts were taxes collected by an employer. (2) A bulk filer is subject to all applicable penalties under Title LVII of the Revised

Code as if the bulk filer were the client company. (3) Notwithstanding the commissioner's authority under division (F)(1) of this section,

a client company remains subject to assessment if its bulk filer fails to timely file

all returns or reports, or to timely remit any payment, on the client company's behalf.  The use of a bulk filer does not abrogate the ability of the commissioner to hold

employees, officers, members, managers, or trustees of the client company personally

liable under division (G) of section 5747.07 of the Revised Code . (4) Any liability assessed against both a bulk filer and a client company shall be joint

and several. (5) A client company is not responsible for filings or amounts that a bulk filer fails

to make or remit on behalf of another client company. (6) A bulk filer is subject to division (H) of section 5747.07 of the Revised Code as if it were an employer subject to that section. (G) A bulk filer may file a refund application pursuant to section 5747.11 of the Revised Code on behalf of one or more of its client companies.