If you paid the employees thru a payroll company and W-2 forms were issued then you DO NOT also file a Sch H on the tax return unless you like paying the taxes twice.
And you will not issue 2 W-2 forms to each employee ... the partial year payroll info will be transferred to the new payroll company and incorporated into their system and a single W-2 form for the entire year's payroll will be issued by the second payroll company at the end of the year.
