Chances are, if you own a business or pay employees, you deal with payroll taxes. Social Security, Medicare and income tax withholding from employee wages is simply part of normal operations, and failure to file and pay your payroll taxes is a certain way to raise red flags with the IRS. This can lead to large IRS penalties and debt, but may also be considered a federal crime.
Penalties on delinquent payroll taxes or tax filings can significantly increase the amount you owe in a matter of mere months. If you don’t address business tax audits quickly, you may find yourself out of business.
There are many businesses that use the funds collected from payroll taxes on their operating expenses instead of paying their taxes. However, the funds collected from employees to pay their share of federal withheld tax, FICA, and Medicare (Social Security) doesn’t belong to the business. These funds must be accounted for and paid to the IRS. Typically, businesses make a federal tax deposit three days after their payroll checks go out. If you miss these payments, you’ll soon be hearing from the IRS.
If the IRS doesn’t receive payments from a company, they begin to take action against owners, directors, employees, and others involved. If they still can’t collect, they will move to shut the business down and sell the assets.
That’s where we come in – don’t get in over your head. Let us help you find a solution to your payroll problems.
We’ve assisted organizations of all sizes in resolving their payroll tax debt. We know you need cash flow and working capital to keep your businesses afloat. We aim to help you resolve your payroll tax issues so that you can focus on running your business.