If the taxpayer owns and runs a business, and he has failed to pay his IRS Payroll Taxes or has forgotten to file his IRS Payroll Tax returns, the IRS could levy, lien or seize the taxpayer's assets.
This could include his accounts receivables, his equipment needed to run the business, any vehicles he uses for his business, access his bank accounts, real property, and, in the worst case scenario, shut down his entire business. The IRS's position is if you're not able to pay your payroll taxes you should not be in business.
Regardless whether the taxpayer has had their business closed by the IRS, declared bankruptcy or continues to be open and in service, the IRS could still try to get the money owed for any unpaid tax debt. The IRS could look to the taxpayer who is the owner, his officers, or even his employees to try to collect any unpaid IRS Payroll Tax debt.
If the taxpayer has employees, he must withhold FICA and other income taxes. However, the taxpayer is not required to segregate any of the withheld amounts from other sources of funds.
The amount that the business owner has withheld becomes the property of the Treasury. These are commonly known as Trust Fund Taxes. These do not in any way represent the debt of the taxpayer or the amount.
If the taxpayer does not pay the money over to the IRS, actual liability will apply to the people who were responsible and failed to collect, account for and pay the withholding taxes. The liability may fall to more than one person and the amount of the said penalty would have to be collected.
If the taxpayer gets involved with a company who has any existing IRS Payroll Tax issues outstanding, it could be the taxpayer that ends up paying the Trust Fund recovery penalty. If the Fund has already been assessed, the taxpayer could actually seek some kind of IRS Payroll Tax relief. If the taxpayer is the business owner and still has IRS Payroll Tax issues outstanding, he could face more severe action against himself. The objective at this point is to stop additional debt from accruing on the already outstanding IRS Payroll Tax issues.
If the taxpayer needs any other information about IRS Payroll Tax issues, he may call us for a FREE and confidential consultation. We want to help the taxpayer realize he is not alone and that we can help. We have highly qualified tax lawyers, enrolled agents and CPA's to help the taxpayer. We can help the taxpayer appeal the assessment of a trust fund recovery penalty and other queries or problems relating to IRS Payroll Tax issues. We can help the taxpayer get a fresh start for his business.
Call us NOW for your FREE IRS Payroll Tax consultation at 888.858.8933.