Resolve Payroll Tax Problems
Employers must deposit and report employment taxes. Also, employers generally must withhold federal income tax from employees’ wages. Any payroll tax withholding has to be deposited according to certain deposit requirements. Sometimes businesses use this money as a float in tough times. Most of the time they think it can be a temporary float for a few days and they’ll be able to deposit the money on time. Then, something happens, the deposit date is missed. The slippery slope keeps going, business doesn’t pick up and there’s trouble. Now, the business is really far behind and the IRS starts sending notices. It can become a serious problem that can mean the end of the business.
If you have a business and owe for payroll taxes on your employees, then the IRS will definitely come after the money. The IRS employs Enforced Collection when it comes to unpaid Payroll Taxes and unfiled payroll tax returns. Enforced Collection can be a levy on the assets of the business, including the accounts receivable, equipment, vehicles and all outside accounts. In addition, the IRS will put your private assets and finances under siege until the trust fund has been fully recovered.
If the IRS comes after someone that they determine to be the responsible party. They will place a Trust Fund Recovery Penalty on that person. The penalty is equal to the amount of the trust fund taxes that weren’t paid in. This is called the 100% penalty because your tax bill is about double what it would have been if the money had been deposited in the first place. There are many penalties and lots of interest involved with these payroll tax problems. Experienced professional help is a must when you get into this type of situation with the IRS. We will help get your payroll tax regulation compliance in order and help you find a solution to your payroll tax liabilities.
We’ll help you resolve payroll tax problems. Call today to see how!