In May, 2013, the Bureau of Workers' Compensation ("BWC") Board of Directors authorized a one-time dividend of $1 billion for private employers and public-taxing districts. The refund is a result of the strong financial position of BWC. Refund checks will be issued to over 200,000 recipients. Rebates will equal about 56 percent of employers' most recent annual premium and will be paid by check from BWC.
Private employers and public-taxing districts that pay premiums into the State Insurance Fund and have active, up-to-date policies will be eligible for the rebate. Employers that have an outstanding balance with BWC will have their rebate payment reduced by the amount of the outstanding balance. If the outstanding balance exceeds the rebate amount, the employer's account will be offset by the amount of the rebate. Employers who utilize a Professional Employer Organization ("PEO") will receive their rebate from their PEO, which is required to pass the rebate on to its members.
Rebate checks will be going out this week through Friday, July 12th. Checks will be issued in numeric order, by policy number. In general, the longer the company has been in business (the lower the policy number), the sooner the check is likely to arrive. Employers who do not receive a rebate check by the end of July should contact the BWC.
For more information on our Tax Planning & Preparation Services, contact Jim Forbes by leaving a message below or by calling 440-605-7156.