by Jim Magary | Apr 6, 2016 | Tax Help
We have over 65 years of working directly for the Internal Revenue Service in the local, district, and regional tax offices of the Internal Revenue Service. AFFORDABLE, Since 1982. A plus Rated.
Payroll Tax Liability Settlements.
I am a former IRS Agent and teaching instructor of the Offer Program when formerly employed at the IRS.
We know all the systems, settlement formulas and all the methodology to get you affordable IRS tax debt relief including trust fund debt problem.
Here the truth from Former IRS Agents who have worked thousands of cases.
Being a former IRS agent and teaching instructor you should understand that the Internal Revenue Service is tougher on payroll taxes than any other taxes.
The reason for this is very simple, this tax is money held in trust in not an actual tax.
It is one of few taxes that the Internal Revenue Service not only go after the company it can in addition can go after the responsible persons or individuals.
After the IRS creates individual tax assessment for those responsible it often time results in the filing of federal tax liens, bank and wage levy garnishments.
This is a tax that you should not fool around with because it is number one on the IRS to hit list. The Internal Revenue Service will individually engage those responsible under section 6672 of the Internal Revenue Code
Let Former IRS agents and managers get you immediate tax relief via a payroll tax settlement.
Offer in Compromise + Make sure you are eligible
Before IRS will consider your offer, you must be current with all filing and payment requirements. You are not eligible if you are in an open bankruptcy proceeding.
Use the Offer in Compromise Pre-Qualifier to confirm your eligibility and prepare a preliminary proposal.
Submit your offer
Your completed offer package will include:
• Form 433-A (OIC) (individuals) or 433-B (OIC) (businesses) and all required documentation as specified on the forms;
• Form 656(s) – individual and business tax debt (Corporation/ LLC/ Partnership) must be submitted on separate Form 656;
• $186 application fee (non-refundable); and
• Initial payment (non-refundable) for each Form 656.
Select a payment option
Your initial payment will vary based on your offer and the payment option you choose:
• Lump Sum Cash: Submit an initial payment of 20 percent of the total offer amount with your application. Wait for written acceptance, then pay the remaining balance of the offer in five or fewer payments.
• Periodic Payment: Submit your initial payment with your application. Continue to pay the remaining balance in monthly installments while the IRS considers your offer. If accepted, continue to pay monthly until it is paid in full.
If you meet the Low Income Certification guidelines, you do not have to send the application fee or the initial payment and you will not need to make monthly installments during the evaluation of your offer. See your application package fo
We should be able to make sure we can reach a reasonable settlement on your payroll tax liability and you can continue to operate your business without fear and worry from the Internal Revenue Service.
With over 60 years of direct working experience at the Internal Revenue Service we know every possible tax solution that can get you immediate and permanent tax relief for a payroll tax settlement.
IRS does not want to seize your business for back taxes due on payroll taxes, however 941 payroll taxes are a big concern for the IRS.
The Process of receiving a Payroll Tax Settlement
The Internal Revenue Service will want to fully review your company or corporation before you can obtain in IRS payroll tax settlement. You will need to provide IRS with the current financial statement along with proof that all payroll tax deposits and 941 tax forms have been filed.
Many times IRS will want a personal or individual financial statement for more responsible persons. For most company’s of the IRS payroll tax settlement may come in three forms.
Review your current financial statement Internal Revenue Service may determine that you are a hardship candidate, monthly payment agreement candidate or an offer in compromise candidate and IRS payroll settlement.
Why have Fresh Start Tax contact the IRS:
You never have to talk with the Internal Revenue Service on these tax matters;
Fresh Start Tax knows what the IRS is looking for;
Fresh Start Tax knows the exact packaging required;
Fresh Start Tax knows the next steps the IRS will take;
You know your case will be handled and resolved as fast as possible.
Other Factors To Consider
IRS has the right to sell your complete inventory at public auction;
IRS can seize all your accounts receivables;
IRS can hold you personally responsible for this tax;
IRS has the right to lock the doors of your business.
Steps to take to work out an affordable payment plan with the Internal Revenue Service:
Immediately stay current on all payroll tax deposits to show the IRS good faith;
Be prepared to give the IRS a current financial statement;
Make sure your personal tax liabilities are filed and paid;
Have all documentation on the financial statement prepared for the IRS.
If you do not pay your Payroll Taxes IRS can collect them from you individually
To encourage prompt payment of withheld income and employment taxes, including social security taxes, railroad retirement taxes, or collected excise taxes, Congress passed a law that provides for the TFRP.( trust fund recovery penalty )
These payroll taxes are called trust fund taxes because you actually hold the employee’s money in trust until you make a federal tax deposit in that amount.
The TFRP may apply to you if these unpaid trust fund taxes cannot be immediately collected from the business.
The business does not have to have stopped operating in order for the TFRP to be assessed
Who Can Be Responsible for the TFRP
The TFRP may be assessed against any person who:
Is responsible for collecting or paying withheld income and employment taxes, or for paying collected excise taxes, and
Willfully fails to collect or pay them.
A responsible person is a person or group of people who has the duty to perform and the power to direct the collecting, accounting, and paying of trust fund taxes. This person may be:
An officer or an employee of a corporation,
A member or employee of a partnership,
A corporate director or shareholder,
A member of a board of trustees of a nonprofit organization,
Another person with authority and control over funds to direct their disbursement,
Another corporation or third-party payer,
Payroll Service Providers (PSP) ore responsible parties within a PSP
Professional Employer Organizations (PEO) or responsible parties within a PEO, or
Responsible parties within the common law employer (client of PSP/PEO).
For wilfulness to exist, the responsible person:
Must have been, or should have been, aware of the outstanding taxes and either intentionally disregarded the law or was plainly indifferent to its requirements (no evil intent or bad motive is required).
Using available funds to pay other creditors when the business is unable to pay the employment taxes is an indication of willfulness. You will be asked to complete an interview in order to determine the full scope of your duties and responsibilities.
Responsibility is based on whether an individual exercised independent judgment with respect to the financial affairs of the business.
An employee is not a responsible person if the employee’s function was solely to pay the bills as directed by a superior, rather than to determine which creditors would or would not be paid.
Figuring the Trust Fund Amount
The amount of the penalty is equal to the unpaid balance of the trust fund tax. The penalty is computed based on:
The unpaid income taxes withheld, plus
The employee’s portion of the withheld FICA taxes. For collected taxes, the penalty is based on the unpaid amount of collected excise taxes.
Assessing the TFRP. If the IRS determines that you are a responsible person, we will provide you a letter stating that we plan to assess the TFRP against you. You have 60 days (75 days if this letter is addressed to you outside the United States) from the date of this letter to appeal our proposal.
The letter will explain your appeal rights. Refer to Publication 5, Your Appeal Rights and How to Prepare a Protest if You Don’t Agree (PDF), for a clear outline of the appeals process. If you do not respond to our letter, we will assess the penalty against you and send you a Notice and Demand for Payment.
Once we assert the penalty, the IRS can take collection action against your personal assets. For instance, we can file a federal tax lien or take levy or seizure action.
Payroll Tax Liability Settlements + Offer in Compromise + Former IRS
by Jim Magary | Apr 4, 2016 | Tax Help
Call Affordable former IRS agents and managers who know the system. Since 1982, A+ rated BBB.
If you have received a letter is from Internal Revenue Service call us today and learn how you and your IRS problem.
We have over 206 years of professional tax experience and over 65 years of working directly for the Internal Revenue Service and the local, district, and regional tax offices of the IRS.
Just have a copy of your a fullr or notice and when you call us and we will give you an exit strategy on how to rectify IRS as fast as possible.
We are a full service tax firm with all work being done in-house.
Please keep in mind that all IRS as letters or time sensitive and you want to make sure you follow.
Final IRS Notices
If you have received any type of final notice from Internal Revenue Service please know this, IRS intends to follow-up with the action indicated on the letter.
As a general rule not a human hand touches at follow-up procedure but is all done systematically through the computer.
Last year the Internal Revenue Service sent out 1.8 million bank levies, and wage garnishment levies all because people did not respond to the IRS final notice, intent to levy. When we take over your representation you will never speak to Internal Revenue Service.
If you owe back taxes and received the final notice you must call the IRS and give them the necessary information to stop the enforcement process.
The IRS sends out approximately 150,000,000 notices and letters each year to individual taxpayers, businesses and Corporation that have issues and problems with Internal Revenue Service.
At the very beginning of this IRS process, the Service simply sends an information notice out requesting the taxpayer to write them or call them back to resolve the issue.
All IRS notices are systematically loaded on IRS’s CADE2 computer system and if the issue has been resolved, the IRS amps up their rhetoric until IRS’s ready to take enforcement and the letters become much more threatening.
Generally, when we file a power of attorney with Internal Revenue Service and make a simple call with an exit strategy on how to resolve the tax problem, we can immediately begin to disarm Internal Revenue Service and put the case on a hold or freeze until we can directly deal with the issue.
We have over 206 years of professional tax experience and over 65 years of working directly for Internal Revenue Service in the local, district, and regional tax offices of the IRS.
Call us today for a free initial tax consultation and begin to end your problem right now. Do not let an IRS final notice slip through the cracks, enforcement action will follow.
We know the system so well that we were former IRS agents that taught new IRS agents their jobs and his former agents we used to send out these threatening letters so we know how to reverse the process.
Since 1982 we have been representing those that have received IRS final notices, we can tell you exactly what to do and how to handle the matter.
Do not be threatened by final notices from Internal Revenue Service, be assertive and take action and least of all do not be bullied by Internal Revenue Service.
The more you know about your IRS tax notice the easier it is to take care of the problem.
IRS Sent Me a Letter/Notice + End IRS Problems
by Jim Magary | Apr 4, 2016 | Tax Help
If you 0we 941 payroll taxes, you need to know about IRS trust fund taxes. Former IRS agents, since 1982, affordable.
Employment Taxes and the Trust Fund Recovery Penalty
To encourage prompt payment of withheld income and employment taxes, including social security taxes, railroad retirement taxes, or collected excise taxes, Congress passed a law that provides for the TFRP.
These taxes are called trust fund taxes because you actually hold the employee’s money in trust until you make a federal tax deposit in that amount.
The TFRP may apply to you if these unpaid trust fund taxes cannot be immediately collected from the business.
The business does not have to have stopped operating in order for the TFRP to be assessed.
Who can be Responsible for the TFRP
The TFRP may be assessed against any person who:
• Is responsible for collecting or paying withheld income and employment taxes, or for paying collected excise taxes, and
• Willfully fails to collect or pay them.
A responsible person is a person or group of people who has the duty to perform and the power to direct the collecting, accounting, and paying of trust fund taxes. This person may be:
• An officer or an employee of a corporation,
• A member or employee of a partnership,
• A corporate director or shareholder,
• A member of a board of trustees of a nonprofit organization,
• Another person with authority and control over funds to direct their disbursement,
• Another corporation or third party payer,
• Payroll Service Providers (PSP) or responsible parties within a PSP
• Professional Employer Organizations (PEO) or responsible parties within a PEO, or
• Responsible parties within the common law employer (client of PSP/PEO).
For willfulness to exist, the responsible person:
• Must have been, or should have been, aware of the outstanding taxes and
• Either intentionally disregarded the law or was plainly indifferent to its requirements (no evil intent or bad motive is required).
Using available funds to pay other creditors when the business is unable to pay the employment taxes is an indication of willfulness.
You may be asked to complete an interview in order to determine the full scope of your duties and responsibilities.
Responsibility is based on whether an individual exercised independent judgment with respect to the financial affairs of the business.
An employee is not a responsible person if the employee’s function was solely to pay the bills as directed by a superior, rather than to determine which creditors would or would not be paid.
Figuring the TFRP Amount
The amount of the penalty is equal to the unpaid balance of the trust fund tax.
The penalty is computed based on:
• The unpaid income taxes withheld, plus
• The employee’s portion of the withheld FICA taxes.
For collected taxes, the penalty is based on the unpaid amount of collected excise taxes.
Assessing the TFRP
If we determine that you are a responsible person, we will provide you a letter stating that we plan to assess the TFRP against you. You have 60 days (75 days if this letter is addressed to you outside the United States) from the date of this letter to appeal our proposal.
The letter will explain your appeal rights. Refer to Publication 5, Your Appeal Rights and How to Prepare a Protest if You Don’t Agree (PDF), for a clear outline of the appeals process. If you do not respond to our letter, we will assess the penalty against you and send you a Notice and Demand for Payment.
Caution
; Once we assert the penalty, we can take collection action against your personal assets. For instance, we can file a federal tax lien or take levy or seizure action.
Avoiding the TFRP
You can avoid the TFRP by making sure that all employment taxes are collected, accounted for, and paid to the IRS when required.
What you need to know
If you owe back 941 tax debt the internal revenue service will make every effort to collect that from the corporate entity while it is still in business or it has the option to go after responsible persons.
It is in your best interest to seek a tax professional to find out that the trust fund penalty is applicable to you.
The Internal Revenue Service does all it can to make sure his many people are as responsible as possible.
Do not be bullied by the Internal Revenue Service.
Just remember, the 941 tax can be a pass-through tax to the individuals. If this is happened to you or may happen to you. Call us today for a free initial tax consultation.
Owe Payroll 941 Tax Debt & Trust Fund Taxes + What You Need to Know KNOW
by Jim Magary | Apr 4, 2016 | Tax Help
We are an affordable professional tax firm with an expertise in IRS tax problems including trust fund help and expert representation.
As a former IRS agent in teaching instructor, I have worked hundreds and hundreds of cases involving trust fund taxes both the assessments, the appeals and the collections.
The trust fund tax arises when corporations failed to pay back payroll taxes.
Under 6672 of the Internal Revenue Code, the Internal Revenue Service is authorized to set up the trust fund penalty against those who were responsible to pay the payroll tax debt. many times when the IRS contacts the corporate entity they are already out of business and there are no assets remaining.
If the company is still in business, the Internal Revenue Service will need to take the case off the collection computer and it does so by taking a business financial statement and making a determination on how to close the case.
Cases are usually closed by putting them in hardship, monthly payments or acceptance of an offer in compromise. IRS has the luxury of asserting the trust fund penalty against responsible persons and still collecting money from an operating Corporation.
If the corporation is defunct, the revenue officer will be on a hunt to set up the trust fund tax against those responsible.
IRS does not make rash decisions on who is responsible.
They put several man-hours of due diligence and to make sure they have the correct responsible persons.
As you read this blog you will learn more about the trust fund tax penalty.
The key to the trust fund tax penalty is the form 4180 which is one of IRS determining factors to find out who is responsible for the tax.
Each revenue officer is required to secure a 4180 from all those who may be responsible to pay the payroll taxes.
Get Representation
I cannot possibly tell you how many form 4180’s I have filled out.
There are many trick questions on form 4180. Any taxpayer going to this process should seek professional representation unless this is a very simple case and you can be rest assured IRS will not even think about holding you as a responsible person.
Call us today for a free initial tax consultation and I will walk you through the process of getting the best possible result giving the facts and circumstances of your case.
I would caution any taxpayer never give IRS a form 4180 unless they have had a true professional review the answers.
That form is one of the main forms that IRS uses to make a determination the trust fund recovery penalty.
You do not want to do this by yourself because of damaging result the trust fund penalty will have on your life.
This assessment will be individually made against you and IRS has the fertile arsenal to collect the taxes. If possible you want to file an appeal if you have a suitable case.
Filing an appeal will delay the assessment of this case and make sure more importantly that IRS finds responsibility against other parties and the cases all come out at the same time for collection. It also stops the interest from running on this tax debt until an assessment is actually made.
Some cases are very simple and taxpayers can represent themselves.
As a general rule you should know that the IRS wants to make everybody responsible that they can so they can fully collect the tax. IRS will do their best to force the issue on trust fund recovery penalties.
Their philosophy, set up everybody for this tax, the more responsible, the merrier.
Call us today and we will review your case and let you know exactly where you stand and let you know how to get the best possible results.
How IRS will Work the Case
1. Regardless of the amount of the trust fund, revenue officers will make a reasonable attempt to collect the entire liability in full. IRS will conduct a full asset search of the company including bank statements reviewing individual and personal and corporate income tax returns and do a full asset search.
2. Potential for additional liabilities from unfiled returns, IRS will conduct a full compliance check on both business and individuals.
3. IRS will conduct the Taxpayer’s history of non-compliance that extends beyond the open balance due accounts.
4. Responsible person’s history of employment tax non-compliance. IRS will want to know if you are repeat offender. Sometimes repeat offenders are refer to the criminal investigation unit for criminal enforcement.
Some of the determining factors used to find individuals liable for this penalty are as follows:
1. Which individuals determine financial policy?
2. Which individuals authorize payment of bills?
3. Which individuals opens or closes bank accounts?
4. Which individuals signs checks?
5. Which individuals authorizes payroll?
6. Which individuals makes tax deposits?
7. Which individuals sign tax returns?
8. Which individuals oversee the hiring & termination of employees?
9. Which individuals run business on a day-to-day basis?
The IRS will review these answers based on sufficient documentation.
Additional Actions IRS will Consider for the trust fund
The goal of IRS is to collect the money in full many times taxpayers trying to wiggle away at around this tax and start moving assets around. the IRS knows the tricks and secrets that are used by taxpayers and will do a full investigation to find out if this is the case.
1. Certain facts may surface indicating that transfers of corporate stock and/or capital assets have occurred. If this is the case, in addition to pursuing the TFRP, consider recovery of the unpaid corporate liability by recommending:
• Transferee assessment
• Suit to establish a transferee liability
• Suit to set aside a fraudulent transfer
• Examination referral
How the Trust Fund Recovery Interviews and Investigations take place.
1. During the initial contact with the taxpayer the revenue officer will attempt to conduct interviews with potentially responsible persons. The revenue officer will take the following actions during the interview:
A. IRS must Provide Publication 1, Your Rights as a Taxpayer, and document in the history the publication was delivered.
B. Explain the TFRP to the taxpayer.
C. IRS will present a copy of the TFRP calculation (Page 4 of Form 4183) Pre-Contact) to all potentially responsible persons and advise them the IRS can personally assess the TFRP against those it determines liable for the penalty for the unpaid trust fund amount and collect the liability from their personal income and assets.
D. Provide Notice 784, Could You Be Personally Liable for Certain Unpaid Federal Taxes?, to the person interviewed and provide sufficient copies of Notice 784 to allow distribution to all other persons associated with the business who, based on the interview and other preliminary investigation, may be liable.
E. Advise the person(s) being interviewed of the proper actions to take to avoid such liability.
F. Begin asking questions and securing core documentation items Evidence That May Support Recommendations) from the taxpayer in support of assertion of the penalty.
If the documents are not secured, establish deadlines for the information and documents.
G. Attempt to secure at least one Form 4180, Report of Interview with Individual Relative to Trust Fund Recovery Penalty or Personal Liability for Excise Taxes, from a potentially responsible person Evidence That May Support Recommendations).
Note:
Secure additional Forms 4180 from all potentially responsible persons to the extent possible.
What about the IRS Form 4180, IRS use:
Is the form to be used for conducting TFRP interviews.
It is intended to be used as a record of a personal interview with a potentially responsible person. During the initial contact, attempt to personally secure the form from potentially responsible persons.
2. The purpose of the personal interview and completion of Form 4180 is to secure direct, detailed information regarding the individual’s or other person’s involvement in the business in order to determine if he or she meets the criteria for responsibility.
3. IRS will not give or mail Form 4180 to the potentially responsible person(s) or representative for completion by that person or for review prior to the interview. The form must be completed in person or over the phone.
4. A summons may be necessary to require the potentially responsible person’s presence at the interview. IRS will deliver form 2039 in person to the taxpayer.
5. After the IRS revenue officer takes the 4180 interview and during the process they will be securing information from third parties, reviewing bank signature cards, review corporate resolutions, review financial statements and after speaking to a number of people they will make a determination as to those persons who are responsible.
As I said earlier in my blog , it is in your best interest to hire a true tax professional to walk you through this process.
If you think in any way shape or form you have questions as to your responsibility call us today for a free initial tax consultation and we will let you know if you should pursue the assessment or the appeal process.
How the Trust Fund Tax Works + Former IRS + Trust Fund Help
by Jim Magary | Apr 4, 2016 | Tax Help
Former IRS Agents & Managers can settle your IRS Payroll Tax Debt, over 65 years of former IRS work experience. We Know the system, since 1982. *AFFORDABLE*
We have over 65 years of working directly for the Internal Revenue Service in the local, district, and regional tax offices of the Internal Revenue Service.
We know all the systems, settlement formulas and all the methodology to get you affordable IRS tax debt relief including trust fund debt problem. Do not fool around with IRS payroll tax debt.
Call us for a Free Consult. 1-866-700-1040
Here the truth from Former IRS Agents who have worked thousands of cases. We are the affordable professional firm.
Being a former IRS agent and teaching instructor you should understand that the Internal Revenue Service is tougher on payroll taxes than any other taxes.
The reason for this is very simple, this tax is money held in trust in not an actual tax.
It is one of few taxes that the Internal Revenue Service not only go after the company it can in addition can go after the responsible persons or individuals.
After the IRS creates individual tax assessment for those responsible it often time results in the filing of federal tax liens, bank and wage levy garnishments.
This is a tax that you should not fool around with because it is number one on the IRS to hit list. The Internal Revenue Service will individually engage those responsible under section 6672 of the Internal Revenue Code
Let Former IRS agents and managers get you immediate tax relief via a payroll tax settlement.
We should be able to make sure we can reach a reasonable settlement on your payroll tax liability and you can continue to operate your business without fear and worry from the Internal Revenue Service.
With over 60 years of direct working experience at the Internal Revenue Service we know every possible tax solution that can get you immediate and permanent tax relief for a payroll tax settlement.
IRS does not want to seize your business for back taxes due on payroll taxes, however 941 payroll taxes are a big concern for the IRS.
The Process of receiving a Payroll Tax DEBT Settlement
The Internal Revenue Service will want to fully review your company or corporation before you can obtain in IRS payroll tax settlement.
You will need to provide IRS with the current financial statement along with proof that all payroll tax deposits and 941 tax forms have been filed.
Many times IRS will want a personal or individual financial statement for more responsible persons. For most company’s of the IRS payroll tax settlement may come in three forms.
Review your current financial statement Internal Revenue Service may determine that you are a:
1. hardship candidate,
2. monthly payment agreement candidate,
3.or an offer in compromise candidate and IRS payroll settlement.
Why have Fresh Start Tax contact the IRS:
You never have to talk with the Internal Revenue Service on these PAYROLL TAX DEBT tax matters;
Fresh Start Tax knows what the IRS is looking for;
Fresh Start Tax knows the exact packaging required;
Fresh Start Tax knows the next steps the IRS will take;
You know your case will be handled and resolved as fast as possible.
Other Factors To Consider
IRS has the right to sell your complete inventory at public auction;
IRS can seize all your accounts receivables;
IRS can hold you personally responsible for this tax;
IRS has the right to lock the doors of your business.
Steps to take to work out an affordable payment plan with the Internal Revenue Service:
Immediately stay current on all payroll tax deposits to show the IRS good faith;
Be prepared to give the IRS a current financial statement;
Make sure your personal tax liabilities are filed and paid;
Have all documentation on the financial statement prepared for the IRS.
If you do not pay your Payroll Taxes IRS can collect them from you individually
To encourage prompt payment of withheld income and employment taxes, including social security taxes, railroad retirement taxes, or collected excise taxes, Congress passed a law that provides for the TFRP.( trust fund recovery penalty )
These payroll taxes are called trust fund taxes because you actually hold the employee’s money in trust until you make a federal tax deposit in that amount.
The TFRP may apply to you if these unpaid trust fund taxes cannot be immediately collected from the business.
The business does not have to have stopped operating in order for the TFRP to be assessed
Who Can Be Responsible for the TFRP, that is the individual tax debt?
The TFRP may be assessed against any person who:
Is responsible for collecting or paying withheld income and employment taxes, or for paying collected excise taxes, and
Willfully fails to collect or pay them.
A responsible person is a person or group of people who has the duty to perform and the power to direct the collecting, accounting, and paying of trust fund taxes.
This person may be: (but not limited too )
An officer or an employee of a corporation,
A member or employee of a partnership,
A corporate director or shareholder,
A member of a board of trustees of a nonprofit organization,
Another person with authority and control over funds to direct their disbursement,
Another corporation or third-party payer,
Payroll Service Providers (PSP) ore responsible parties within a PSP
Professional Employer Organizations (PEO) or responsible parties within a PEO, or
Responsible parties within the common law employer (client of PSP/PEO).
For wilfulness to exist, the responsible person:
Must have been, or should have been, aware of the outstanding taxes and either intentionally disregarded the law or was plainly indifferent to its requirements (no evil intent or bad motive is required).
Using available funds to pay other creditors when the business is unable to pay the employment taxes is an indication of willfulness. You will be asked to complete an interview in order to determine the full scope of your duties and responsibilities.
Responsibility is based on whether an individual exercised independent judgment with respect to the financial affairs of the business.
An employee is not a responsible person if the employee’s function was solely to pay the bills as directed by a superior, rather than to determine which creditors would or would not be paid.
Figuring the Trust Fund Amount for responsible individuals
The amount of the penalty is equal to the unpaid balance of the trust fund tax. The penalty is computed based on:
The unpaid income taxes withheld, plus
The employee’s portion of the withheld FICA taxes. For collected taxes, the penalty is based on the unpaid amount of collected excise taxes.
Assessing the TFRP. If the IRS determines that you are a responsible person, we will provide you a letter stating that we plan to assess the TFRP against you. You have 60 days (75 days if this letter is addressed to you outside the United States) from the date of this letter to appeal our proposal.
The letter will explain your appeal rights. Refer to Publication 5, Your Appeal Rights and How to Prepare a Protest if You Don’t Agree (PDF), for a clear outline of the appeals process. If you do not respond to our letter, we will assess the penalty against you and send you a Notice and Demand for Payment.
Once we assert the penalty, the IRS can take collection action against your personal assets. For instance, we can file a federal tax lien or take levy or seizure action.
IRS Payroll Tax Debt + Settle Payroll Tax Debt + 1-866-700-1040
by Jim Magary | Apr 4, 2016 | Tax Help
If you haven’t filed back employment taxes contact us today about filing, settling and having former IRS agents represent your best interest.
We have over 206 years professional tax experience and over 65 years of working directly for the Internal Revenue Service in the local, district, and regional tax offices of the Internal Revenue Service.
As former IRS agents and managers, advisors, and teaching instructors.
Let our years of experience work for you and be your best ally, file back 941,940, Employment payroll tax and settle your debt with Internal Revenue Service..
You will never have to speak to IRS.
If you are having problems with back unfiled employment payroll taxes and need to file past-due tax returns contact us today so we can make this a quick, simple and affordable process to resolve your payroll tax problems.
As a former IRS agent, the federal government puts payroll taxes as a high priority on their list of targets.The reason is simple, payroll taxes are not a tax they are in fact monies are held in trust for the federal government.
When a case is in the field, the IRS Service centers send out what are known as FTD alerts those are corporations in the area we the IRS offices are located that have not filed their current federal tax deposits. The local IRS offices will make sure payroll tax cases are worked well before individual tax cases.
IRS can hold individuals responsible for the failure to pay back payroll taxes (unfiled, multiple payroll tax returns )
The IRS has a 6672 penalty which is imposed on persons or individuals who have not filed and paid back payroll taxes. IRS has the right to assess, collect and sees those assets belonging to those parties were responsible to collect the money and turn it over to the Internal Revenue Service.
If you have not paid back payroll taxes and your signature on the bank account of a particular company or corporation you may be held responsible to pay these back taxes. You should contact us today for further details.
How the Process Works of unfiled back unemployment taxes
If you haven’t filed back 941 payroll employment taxes with or without records we can prepare your back tax returns. we have been doing it for years as former IRS agents and private practice. There is a very fast easy and seamless system.
We will send a power of attorney to the Internal Revenue Service letting them know that they may only contact us on your behalf.
We will take a business and personal financial statement and work out the details with you on your individual case. You will need to provide Internal Revenue Service with both financial statements.
Most taxpayers are unaware that the Internal Revenue Service can set up the trust fund penalty against responsible individuals under section 6672.
What that means is the IRS will pass on part of the tax to you as an individual if you are responsible for trust fund taxes.
Who Can Be Responsible for the Trust Fund Taxes, code section 6672?
The trust fund recovery penalty may be assessed against any person who:
Is responsible for collecting or paying withheld income and employment taxes, or for paying collected excise taxes; and
Willfully fails to collect or pay them
A responsible person is a person or group of people who has the duty to perform and the power to direct the collecting, accounting, and paying of trust fund taxes.
This person may be or had some of the following powers:
An officer or an employee of a corporation;
A member or employee of a partnership;
A corporate director or shareholder or member;
A member of a board of trustees of a nonprofit organization, or anyone deemed to be responsible;
Another person with authority and control over funds to direct their disbursement.
For wilfulness to exist, the responsible person:
Must have been, or should have been, aware of the outstanding taxes; and
Either intentionally disregarded the law or was plainly indifferent to its requirements (no fraudulent intent or bad motive is required).
If you do not file , IRS can prepare these tax returns under 6020 B of the Internal Revenue Code
(a) Preparation of return by Secretary
If any person shall fail to make a return required by this title or by regulations prescribed thereunder, but shall consent to disclose all information necessary for the preparation thereof, then, and in that case, the Secretary may prepare such return, which, being signed by such person, may be received by the Secretary as the return of such person.
(b) Execution of return by Secretary
(1) Authority of Secretary to execute return
If any person fails to make any return required by any internal revenue law or regulation made thereunder at the time prescribed therefore, or makes, willfully or otherwise, a false or fraudulent return, the Secretary shall make such return from his own knowledge and from such information as he can obtain through testimony or otherwise.
(2) Status of returns
Any return so made and subscribed by the Secretary shall be prima facie good and sufficient for all legal purposes.H
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Haven’t Filed Back Employment Taxes 941, 940 + Payroll Tax Problems
