Workers’ Compensation and Medicare Insurance Tax Overpayments Audit Service

The City of Yonkers, New York, is seeking a qualified vendor to perform a workers' compensation and Medicare insurance tax overpayments audit service. The agency needs to audit its payroll and wage records for employees and years under review to recover Social Security and Medicare insurance tax overpayments related to lost-time injury cases. This initiative aims to identify and reclaim overpaid taxes based on Internal Revenue Service codes and maximum benefits. The scope of work requires the selected vendor to calculate workers' compensation and Social Security tax overpayments for each year under review. The vendor must prepare an employee refund schedule, a written audit findings report, a schedule of affected employees, and a schedule of calculated employer and employee tax overpayments. Additionally, the agency requires an employee authorization documentation process, a refund tracking schedule, and a final close-out report identifying amounts claimed, recovered, and unrecoverable. The agency also requires the vendor to identify filing deadlines by tax year, advise the city of any amounts at risk of becoming unrecoverable, and provide a written legal and tax basis for each recovery category before filing. The resulting contract will span a three-year period, and the agency permits the work to be performed offsite. Eligibility is restricted to onshore organizations based in the United States. Bidders must submit their proposals digitally via email or online, and the agency is currently open to receiving budget proposals. All questions regarding this procurement must be submitted to the agency no later than June 5, 2026.