IRS Relief from Payroll Tax Problems
Unpaid payroll taxes can quickly lead to penalties, collection action, and personal liability. Learn what relief options may be available.
IRS Relief from Payroll Tax Problems
Discuss Your Tax Issue With an Experienced Attorney and CPA
If you own a business and fail to file and/or pay your payroll taxes the consequences will escalate. Unpaid payroll taxes will create debt and penalties, and both will have interest until they are paid off. If a business owner willfully does not file or pay payroll taxes, it might even be considered a federal crime.
The penalties assessed on unpaid payroll taxes accumulate quickly and if business owners do not act immediately they might find themselves out of business or facing personal liability for payroll taxes. By resolving payroll tax debt problems, business owners can protect and ensure the future of their companies. With payroll tax issues, money is not the only problem, resolving these issues can save a company.
It is necessary for business owners to file and pay payroll taxes to the Internal Revenue Service. Payroll taxes can include income taxes, Social Security taxes, and Medicare Taxes. The IRS requires employers to withhold these taxes from the wages of their employees, and that the employers make a similar contribution. Payroll taxes programs such as; Social Security, healthcare, unemployment compensation, worker’s compensation
The IRS places priority on collecting unpaid payroll taxes. This means that the IRS believes that it is more important to collect on unpaid employment taxes over income taxes. This is because payroll taxes are considered a trust tax and can impose harsh penalties because employers technically hold the employee’s money in a trust until they deposit the taxes. Business owners must make federal tax deposits within three days of the payroll checks being issued.
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Since payroll taxes are trust taxes, the IRS views non-filing and non-payment as a serious crime. If you find yourself in this situation, contact an experienced lawyer who understands the tax laws. The IRS makes unpaid payroll tax investigations very difficult, and will often reject Offers in Compromise or Installment Agreements to pay back the payroll tax debt.
If your business has not filed or has not paid payroll taxes, you risk losing your business, federal tax liens and wage or asset levies. Working with an experienced IRS tax attorney can help with a favorable outcome in this accelerated collections process.
We Can Help You No Matter Where You Live.
Our New York tax law firm offices are located in New York State but we are able to help you in any state across the country. We can work with you no matter where you live. Mr. Hart is licensed to deal with the IRS in every state in the entire country. We can help you with unfiled payroll returns, unpaid payroll deposits, payroll tax audits, ERC audit penalties, and all kinds of other state and federal payroll tax issues, including if a Revenue Officer assignment to your business.
Frequently Asked Questions About IRS Relief from Payroll Tax Problems
Answers to common questions about IRS Relief from Payroll Tax Problems, relevant tax procedures, and when professional guidance may help.
If you own a business and fail to file and/or pay your payroll taxes the consequences will escalate. Unpaid payroll taxes will create debt and penalties, and both will have interest until they are paid off. If a business owner willfully does not file or pay payroll taxes, it might even be considered a federal crime. The rules and available options depend on the taxpayer’s particular facts.
The issue may affect filing obligations, tax balances, deadlines, penalties, collection activity, or appeal rights depending on the circumstances.
Keep the relevant tax returns, notices, account transcripts, correspondence, payment records, and supporting financial documents. The exact records needed depend on the issue.
Seek advice promptly after receiving a notice, learning of a filing problem, or facing an audit, appeal, or collection deadline. Early review provides more time to evaluate the response.
Timothy S. Hart is both a tax attorney and a CPA. He can review the facts, explain the applicable process, identify practical options, and communicate with tax authorities when representation is appropriate.
The IRS and State Tax Departments are not your friend, and are looking after their best interest
Stop fighting alone. Call now for your free consultation with Tim Hart.
