Current through February 26, 2024
(1) EMPLOYER
STATUS.
(a) A transferor which is no longer
an employer after a transfer of business has occurred shall submit contribution
reports and payments which may be outstanding on the date of transfer or which
become due subsequent to that date for a quarter including the transfer
date.
(b) If not already an
employer, a successor becomes an employer subject to ch. 108, Stats., on the
date of transfer and is liable for contributions or payments in lieu of
contributions, whichever is applicable, from that date.
(2) TRANSFER OF EMPLOYER'S ACCOUNT BALANCE.
(a)
Total successorship.
When a transfer of business results in a total successorship, the successor
shall take over and continue the transferor's account, including its positive
or negative balance under s.
108.16(8)
(f), Stats.
(b)
Partial successorship.
When a transfer of business results in a partial successorship, the successor
shall take over and continue the transferor's account, including its positive
or negative balance, in an amount determined by the transfer percentage under
s.
108.16(8)
(f), Stats.
(3) TRANSFER OF RATE EXPERIENCE.
(a)
Successor not an employer at time
of transfer. If the successor was not an employer at the time of
transfer under ch. 108, Stats., the department shall assign to the successor,
as of the date of transfer, the contribution rate assigned or assignable to the
transferor on the date of transfer under s.
108.16(8)
(g), Stats. If more than one transfer of
business occurs on the same date of transfer to a single successor, the
contribution rate assigned to the successor may not be higher than the highest
contribution rate that applied to any of the transferors for the year in which
the transfer occurred.
(b)
Successor an employer at time of transfer. If the successor
was an employer at the time of transfer under ch. 108, Stats., the successor
shall retain the assigned rate for the calendar year of the transfer. For
subsequent years as required by s.
108.18,
Stats., the department shall assign a contribution rate which reflects the
combined experience of the transferor and successor. For the purposes of s.
108.18,
Stats., the department shall determine the experience of the successor's
account by allocating to that account the respective proportions of the
transferor's payroll and benefits properly assignable to the business
transferred.
(4) PAYROLL
BASE. For the calendar year of the transfer, employment in the transferred
business becomes employment performed for the successor under s.
108.16(8)
(i), Stats. The successor shall compute
exclusions in excess of the payroll base as though only one employer existed
for that entire year.
(5) TRANSFER
OF LIABILITY FOR CONTRIBUTIONS OR PAYMENTS IN LIEU OF CONTRIBUTIONS. The
transferor and successor shall be jointly and severally liable for any of the
transferor's liability for contributions or payments in lieu of contributions
at the time of the transfer under s.
108.16(8)
(f), Stats. The liability of the successor
shall be proportioned to the extent of the transferred business as determined
by the transfer percentage.
(6)
TRANSFER OF BENEFIT LIABILITY.
(a)
Total successorship. When a transfer of business results in a
total successorship, all benefits paid after the transfer date shall be charged
to the employer's account of the successor, even though based on prior services
for the transferor in the transferred business under s.
108.16(8)
(i), Stats.
(b)
Partial successorship.
When a transfer of business results in a partial successorship, any benefits
charged to the transferor after the transfer date for employees of the
transferred business shall be credited to the employer's account of the
transferor and recharged to the employer's account of the
successor.
