Emptech’s Tax Services “MACS” Consulting


“MACS” Mergers & Acquisition Consulting Services

M&A Transition Consulting

In most organizations, no one single department has ownership of employment tax issues during a transition event (merger, acquisition, consolidation, restructure, entity conversion, etc.), leading to a fragmented approach. The consequences are inevitable: missed deadlines, unwarranted liabilities, and over-payments, etc. This process carries ever-higher risk as agency enforcement becomes more severe, owing to more stringent government oversight. Accordingly, active acquirers need to proactively manage M&A-related employment tax issues.

Emptech’s MACS program is focused on compliance, tax optimization, and reducing a client’s resource needs. MACS covers these areas:

  • We perform due diligence reviews prior to acquisition to determine any predecessor liabilities or potential employment tax exposures not disclosed or reflected in the target company’s financial records.
  • For employee migrations (whether M&A-based or otherwise), we conduct a thorough state-by-state analysis, identify relevant legal statutes, review “common control” issues and tax impacts, determine effective employee migration treatment and reporting requirements, and file all required registration and status forms. In short, we oversee the migration from start to finish, ensuring optimal tax status and 100% compliance.
  • We work directly with predecessors to acquire the necessary data for an efficient transition.
  • We carefully assess the employee migration to take advantage of our client’s rights for optimal tax treatment while streamlining transitions, present and future.
  • Our best-practice protocol includes systematic execution of clearly defined milestones, framed by our client’s strategic needs.
  • As the “point people” for transitions, we draw together payroll, finance, human resources, and outside vendors with clear communication.
  • Where necessary, we can conduct a comprehensive vendor review, recommending the optimal mix of vendors for the client’s unique needs.

Pricing for MACS is on a fixed-fee based determined by the number of legal entities involved, the number of state reporting points, event structure, and timing. Our fees our often subsidized, if not paid for in full, by the refunds and savings generated by our work.

RESULT: Clients enjoy a smooth and efficient employment tax / payroll transition, relieved of internal management and administrative burden — and benefit from a strategic platform which minimizes tax and maximizes compliance.