Colorado Div. of Employment & Training v. Accord Human Resources, Inc

Petitioner Accord Human Resources, Inc. (Accord) is a professional employer organization that transacts business in Colorado along with four related entities. In 2004, Accord transferred a portion of its Colorado employees to another Accord entity with a lower unemployment tax rate and in doing so, reduced its unemployment tax burden. The Colorado Division of Employment and Training determined that it had authority to treat the various Accord entities as one for purposes of assessing unemployment taxes, thus erasing any tax advantage that could be gained through the employee transfer. Under this rationale, the Division issued a delinquent tax notice to Accord. Accord appealed, and the hearing officer reversed. On appeal, the court of appeals reversed the Industrial Claim Appeals Office's Final Order and reinstated the hearing officer's decision. The Division sought to reverse the court of appeals decision. Upon review, the Supreme Court affirmed the appellate court's decision, finding that nothing gave the Division authority to combine separate employer tax accounts into one account for purposes of assessing unemployment taxes. View "Colorado Div. of Employment & Training v. Accord Human Resources, Inc" on Justia Law