How is the client company’s tax rate determined?
A. Client companies that joined a PEO before July 1, 2007 will be assigned the PEO’s tax rate for 2008. Client companies that joined a PEO on or after July 1, 2007, and already have their own rate will continue to be assigned their own rate for 2008 based solely on their own experience. The department has proposed rules to outline how tax rates will be determined in future years (WAC 192-300-220). Q.
