ShiftPixy Sees Opportunity in IRS Notices of ACA Non-Compliance
September 10 2018 - 8:30AM
ShiftPixy, Inc. (NASDAQ: PIXY), a disruptive workforce engagement
platform provider, notes that thousands of businesses across the
U.S. are now receiving penalty notices (letter 226-J) from the IRS
for failure to comply with provisions of the Affordable Care Act
(ACA) for the 2015 reporting year. The penalties, which
relate to the alleged failure of large employers (those with more
than 50 employees) to provide adequate healthcare insurance that is
affordable and meets a minimum value, are often in the hundreds of
thousands of dollars which can potentially bankrupt smaller firms.
ShiftPixy, with its roots in staffing
compliance, protects its clients from such unwelcome violation
notices and multiple other compliance burdens, something that
large, well known competitors fail to do. Unlike others,
ShiftPixy embraces employer status of the workforce, offering
employment-related benefits and protections, all while handling
administrative and compliance burdens for the operators.
“The onslaught of violation notices is an
outright disaster for thousands of American businesses that could
be forced to shut their doors if unable to afford these sizable
fines,” stated Scott Absher, Co-Founder and CEO of ShiftPixy.
“If they believe they can secure a bank loan to cover the fine,
they can think again as most banks won’t touch a prospective
borrower facing an IRS penalty.”
ShiftPixy’s innovative employment model with its
sophisticated technology platform and compliance orientation
represents the perfect solution for employers operating in the Gig
Economy. Using sophisticated technology, ShiftPixy
efficiently matches employers with the qualified workers they need,
all while providing compliance peace of mind for the employers
entering the ShiftPixy ecosystem.
Mr. Absher continued, “As evidenced by our
surging demand and rapid growth, we’re again proving that our
solution is the gold standard for employers looking to succeed and
remain compliant in the Gig Economy. We suspect these IRS
letters hitting mailboxes by the thousands will only drive more
employers to realize the value of a partnership with
ShiftPixy.”
ShiftPixy further notes that the IRS is already
laying the groundwork to issue violation letters pertaining to the
2016 reporting year.
Learn MoreTo discover the power
of ShiftPixy’s self-delivery platform for your restaurant please
select one of our convenient webinar timeslots at:
https://www.shiftpixy.com/webinars/ or call us at 888-798-9200 to
register.
About ShiftPixyShiftPixy
(NASDAQ: PIXY) is a disruptive human capital management platform,
revolutionizing employment in the Gig Economy by delivering a
next-gen mobile engagement technology to help businesses with
shift-based employees navigate regulatory mandates, minimize
administrative burdens and better connect with a ready-for-hire
workforce. With expertise rooted in management’s nearly 25 years of
workers’ compensation and compliance programs experience, ShiftPixy
adds a needed layer for addressing compliance and continued demands
for equitable employment practices in the growing Gig Economy.
ShiftPixy Cautionary
StatementThe information provided in this release includes
forward-looking statements, the achievement or success of which
involves risks, uncertainties, and assumptions. Although such
forward-looking statements are based upon what management of the
Company believes are reasonable assumptions, there can be no
assurance that forward-looking statements will prove to be
accurate. If any of the risks or uncertainties, including those set
forth below, materialize or if any of the assumptions proves
incorrect, the results of ShiftPixy, Inc., could differ materially
from the results expressed or implied by the forward-looking
statements we make. The risks and uncertainties include, but
are not limited to, risks associated with the nature of our
business model; our ability to execute the Company's vision and
growth strategy; our ability to attract and retain clients; our
ability to assess and manage risks; changes in the law that affect
our business and our ability to respond to such changes and
incorporate them into our business model, as necessary; our ability
to insure against and otherwise effectively manage risks that
affect our business; competition; reliance on third-party systems
and software; our ability to protect and maintain our intellectual
property; and general developments in the economy and financial
markets. The Company undertakes no obligation to update
forward-looking statements if circumstances or management's
estimates or opinions should change, except as required by
applicable securities laws. The information in this press
release shall not be deemed to be "filed" for the purpose of
Section 18 of the Securities Exchange Act of 1934, as amended, or
otherwise subject to the liabilities of that section, and will not
be deemed an admission as to the materiality of any information
that is required to be disclosed solely by Regulation FD.
Further information on these and other factors that could affect
the financial results of ShiftPixy, Inc., is included in the
filings on Forms 1-A and 10-K and in other filings we make with the
Securities and Exchange Commission from time to time. These
documents are available on the "SEC Filings" subsection of the
"Investor Information" section of our website at
https://ir.shiftpixy.com/financial-information/sec-filings.
Consistent with the SEC’s April 2013 guidance on
using social media outlets like Facebook and Twitter to make
corporate disclosures and announce key information in compliance
with Regulation FD, ShiftPixy is alerting investors and other
members of the general public that ShiftPixy will provide updates
on operations and progress required to be disclosed under
Regulation FD through its social media on Facebook, Twitter,
LinkedIn and YouTube. Investors, potential investors, shareholders
and individuals interested in our Company are encouraged to keep
informed by following us on Facebook, Twitter, LinkedIn and
YouTube.
Media Contact: Clark
Wilsonclark.wilson@shiftpixy.com(949) 245-7250
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