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Acquiring an employer w/ §218 Agreement


Guest kjk
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If a city that does not fall under a Section 218 agreement, acquires an employer (in this case a water district) that does fall under a Section 218 agreement, what happens to those employees who were covered under the Section 218 agreement--is the agreement still in place as to those employees only?

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  • 5 months later...
Guest Peaches

Check with the State Social Security Administrator. They should be able to tell you whether the acquiring water distict is still subject to the 218 Agreement. If so, it will apply only to those employees for whom it was written. See IRS Publication 963.:)

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