Tax Questions

Will the IRS or Virginia Department of Taxation send me letters?
Now that you are an employer, you may receive letters or forms. These letters may come from the IRS, the Virginia Department of Taxation, and the Virginia Employment Commission. CDCN asks for these letters to be sent to CDCN, but they may be sent to the address of the Employer. Most of the letters are for information only, and you do not need to act. If you have questions, call CDCN Customer Service; we may ask you to fax, email or mail the document to us.

What taxes are withheld for each of my attendants?
Most people must pay taxes. Taxes that are withheld include Social Security and Medicare (FICA), and income taxes (federal and state) for each paycheck. Withholding amounts are based on the tax exemption status the Attendant selected on the tax paperwork. A list of payroll withholdings will be on the Attendant’s pay stub.

Does the Employer of Record handle payment of Employment Taxes?
The program will pay the Employer’s portion of taxes. As your F/EA, CDCN will complete and submit all paperwork and payments.

Who will issue W-2s?
In 2019 – If you were a part of the F/EA Transition, then PPL will process W-2’s for any wages/pay issued in 2018.

In 2020 – Consumer Direct will issue the W-2 Statement for wages paid in 2019.  CDCN has until January 31st to mail the W-2 to your employees.