Clients average 92% reduction of trust
fund penalty from unpaid payroll taxes.

Clients average 92% reduction of trust
fund penalty from unpaid payroll taxes.

Unfiled or Unpaid Payroll Taxes

Unfiled or Unpaid Payroll Taxes

The Federal government requires that any business issuing W-2 forms to its employees must also withhold taxes on behalf of the employee. In turn, the employer must turn over this withholding, also called "Trust Fund," to the IRS. The employer must submit the withholdings either every month or every quarter depending on the amounts collected. What happens when the employer does not send the trust fund to the IRS? What happens when unpaid payroll taxes remain unpaid?

If the business does not send the withholding to the IRS, it can often spell disaster for the business. The IRS takes unpaid payroll taxes and trust fund very seriously and views it as a form of theft. Keep in mind that Federal withholdings belong to the IRS. If fact they not only assess the unpaid payroll taxes to the business but also impose a 100% personal penalty to the responsible parties, called a "Trust Fund Recovery Penalty." Although the IRS does not specifically define "responsible party," it usually includes the owner and any other business bank account signatory. In assessing this penalty the IRS Revenue Officer conducts an interview using Form 4180. You must have an experienced tax attorney representing you during the 4180 interview to have any chance of avoiding the trust fund penalty.

IRS TROUBLE?
Better Call Paul
Michigan 586.933.5818

If the Trust Fund Penalty has already been assessed, you must contact our office immediately to begin working on a strategy to save your business and personal assets. Note that the IRS would rather shut down your business and liquidate the assets than to let you continue accruing new unpaid payroll taxes. If you find yourself in this situation, you must contact an experienced attorney especially if you would like to attempt a tax reduction settlement or an offer in-compromise. An offer in-compromise involving an in-business trust fund is far different than an offer on a personal tax debt and should only be attempted by an experienced professional.

Call Tax Attorney Paul Tarnavsky of The Tax Lawman, LLC to discuss your unpaid payroll taxes and develop a strategy to get your business out of tax debt.

The Federal government requires that any business issuing W-2 forms to its employees must also withhold taxes on behalf of the employee. In turn, the employer must turn over this withholding, also called "Trust Fund," to the IRS. The employer must submit the withholdings either every month or every quarter depending on the amounts collected. What happens when the employer does not send the trust fund to the IRS? What happens when unpaid payroll taxes remain unpaid?

If the business does not send the withholding to the IRS, it can often spell disaster for the business. The IRS takes unpaid payroll taxes and trust fund very seriously and views it as a form of theft. Keep in mind that Federal withholdings belong to the IRS. If fact they not only assess the unpaid payroll taxes to the business but also impose a 100% personal penalty to the responsible parties, called a "Trust Fund Recovery Penalty." Although the IRS does not specifically define "responsible party," it usually includes the owner and any other business bank account signatory. In assessing this penalty the IRS Revenue Officer conducts an interview using Form 4180. You must have an experienced tax attorney representing you during the 4180 interview to have any chance of avoiding the trust fund penalty.

IRS TROUBLE?
Better Call Paul
Michigan586-933-5818

If the Trust Fund Penalty has already been assessed, you must contact our office immediately to begin working on a strategy to save your business and personal assets. Note that the IRS would rather shut down your business and liquidate the assets than to let you continue accruing new unpaid payroll taxes. If you find yourself in this situation, you must contact an experienced attorney especially if you would like to attempt a tax reduction settlement or an offer in-compromise. An offer in-compromise involving an in-business trust fund is far different than an offer on a personal tax debt and should only be attempted by an experienced professional.

Call Tax Attorney Paul Tarnavsky of The Tax Lawman, LLC to discuss your unpaid payroll taxes and develop a strategy to get your business out of tax debt.