Problems with Payroll Taxes
Do you think that because you are a small business owner you do not have to withhold taxes from your employees' paychecks? Are you under the impression that the IRS will not notice the failure to remit tax payments? Even if the IRS does not immediately contact you regarding a failure to properly pay taxes, you can be sure that they do notice and you will suffer the consequences eventually.
Every business must remit payroll taxes to the IRS quarterly, after withholding the taxes from every paycheck. Tax payments are due in March, June, September, and December. As a business owner, you are responsible for determining the appropriate amounts of federal income tax, Medicare, and social security tax to withhold from employee paychecks.
Payroll Tax Help
As with failure to pay individual taxes, failure to pay payroll taxes will result in penalties, interest on back taxes, and having to deal with IRS collections. Even failing to pay payroll taxes on a quarterly basis can mean large penalties, even if you are withholding the taxes appropriately and were planning to make an annual payment. Penalties quickly add up, making it more difficult to catch up with back tax payments.
If you have failed to remit your payroll taxes to the IRS, your personal property may be at stake. Provided you are a business owner, and the IRS finds you personally responsible for the failure to pay taxes, they may issue a lien or levy on your personal property. Not paying payroll taxes for your business could even lead to losing your home if you do not catch up with payments in a timely manner.
Even if you have not yet received a notice from the IRS regarding back payroll taxes, you should hire a professional tax resolution company and bring your taxes up to date as soon as possible. You can avoid the negative consequences of dealing with IRS collections if you take care of the problem as soon as possible. If you've already been pursued by the IRS for collection of payroll taxes, you can get help from the professionals at Itri & Co. When you need a tax firm with experience helping clients solve their IRS tax problems, Itri & Co, with over 20 years of experience, can help you take care of the problem before it gets worse.