Payroll Taxes

IRS Payroll Tax Problems We Can Help!

Internal Revenue Service tax problems and payroll tax problems can be overwhelming for you, the business owner. Don’t forget that the IRS takes these issues very seriously.

Call or email us to learn more about the solutions our tax attorneys can offer and how Martelle Law can assist you.

Before we go any further, here’s a quick primer on how payroll taxes work: A portion of the employee’s paycheck is withheld in order to fulfill the requirements of government-sanctioned payroll taxes. These taxes are considered to be held in trust until paid out to the IRS. The IRS takes a negative view of anyone in business who utilizes these very specific funds for any unsanctioned reason.

We have discovered that once businesses fall behind on making the IRS payroll deposit payments, it becomes extremely difficult to get caught back up. A domino effect is created, and many times the situation spins out of control.

The IRS will assess huge penalties for failure to file the payroll withholding returns (940 & 941) and failure to deposit the collected payroll taxes. For example, a failure to file the payroll withholding of a 941 return will result in a 5 percent penalty EACH MONTH for five months! Gigantic penalties also apply if you fail to deposit the collected payroll withholdings.

Ironically, when a business consistently misses its rent payment, the landlord will kick them out. When a business can’t pay for products, the supplier of the products will no longer deliver to that business. When the business has other debts that it does not pay, the various creditors will, one-by-one, come after the business for repayment of debts. However, if the business does not make the deposits for their payroll withholding, or if the business misses a filing of the payroll returns, it could take years for the business to receive a notice from the IRS on the matter.

Once the IRS actually decides to collect on those past due payroll taxes, the agency can be merciless. IRS officials generally have the attitude that if the business cannot pay the withholding taxes, then it should not be conducting any business. These payroll tax problems could result in seizures when the IRS collections begin.

Personal responsibility and you, the business owner

The IRS will immediately investigate anyone responsible for withholding taxes and creating payroll tax problems. This means that, if your business has multiple partners or owners, each of you could be liable for the withholding issues associated with the past taxes. This is called a Trust Fund Recovery Penalty.

The IRS will then issue a proceeding against the owners called a “Trust Fund Recovery Penalty.” At this point, a professional is needed to help determine if the owner should still be held liable. For example, if the person in question did not have financial responsibilities in the business, he or she may not be held responsible for the payroll tax problems.

If you have tax liabilities concerning payroll, you need professional legal assistance NOW! And we know how to help!

There is an array of solutions available to you if you need help resolving payroll tax problems. These solutions include:

You are the one who MUST take immediate action to get this problem resolved. If you sit back and wait to see what happens, your dealings with the IRS will become MUCH more complicated.

We are proud of our positive record of resolving payroll tax problems between businesses and the IRS. We will use our vast knowledge and apply it to your case with fervor and commitment.

For a No Obligation consultation to have your IRS problems analyzed by a competent and experienced Tax Lawyer, contact us at:

1 877 TAX CREW (877 829-2739) or 208 938-8500

Or, fill out our online form and find out what we can do to assist you. We offer a No Obligation consultation to all clients, and special payment plans to those who need them.