Payroll Tax Help – Former IRS Agents – Help Settle Federal Payroll Tax Debt     1-866-700-1040

 
If you are having a payroll tax problem with the Internal Revenue Service contact us today for a free consultation and speak directly to tax attorneys, CPAs or former IRS agents.
We have over 60 years of direct working experience and knowledge of the Internal Revenue Service and we have worked in the local, district, and regional tax offices of the Internal Revenue Service.
We have a total of 206 years  of professional tax experience and we are A+ rated by the Better Business Bureau.
We worked as agents, managers, instructors and former IRS appeals agents. We know every tax procedure and policy regarding the filing and the paying of both income and payroll taxes.
Do not let worry and stress hold you back from dealing with your problem. We can handle the situation head-on and get you in your business restored to full financial health.
We have represented thousands of taxpayer since 1982 and are one of the highest rated tax resolution firms in the country.
 

Owing IRS payroll taxes.

As a former IRS agent I have worked thousands of taxpayers and businesses who are owed 941 payroll taxes.
The key component in dealing with Internal Revenue Service is to make sure that you are making current tax deposits and you are timely filing your  941 or 943 payroll tax returns. As a general rule, the Internal Revenue Service will not offer settlements or agreements with any taxpayer or corporation if they are not current both in their filing and their paying of their current federal tax deposits.
It also should be known that IRS has the ability to set up the trust fund tax against those responsible persons or employees who failed to turn over the payroll taxes to Internal Revenue Service.
You will find below the trust fund recovery penalty which may apply to you if you were the person who did not timely paid over back payroll taxes.
 

Trust Fund Tax

A trust fund tax is money withheld from an employee’s wages (income tax, social security, and Medicare taxes) by an employer and held in trust until paid to the Treasury.
When you pay your employees, you do not pay them all the money they earned.
As their employer, you have the added responsibility of withholding taxes from their paychecks. The income tax and employees’ share of FICA (social security and Medicare) that you withhold from your employees’ paychecks are part of their wages you pay to the Treasury instead of to your employees.
Your employees trust that you pay the withholding to the Treasury by making Federal Tax Deposits . That is why they are called trust fund taxes.
Through this withholding, your employees pay their contributions toward retirement benefits (social security and Medicare) and the income taxes reported on their tax returns. Your employees’ trust fund taxes, along with your matching share of FICA, are paid to the Treasury through the Federal Tax Deposit System.
The withheld part of these taxes is your employees’ money, and the matching portion is their retirement benefit.
 

Congress has past a Law

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:
a. is responsible for collecting or paying withheld income and employment taxes, or
2. for paying collected excise taxes, and willfully fails to collect or pay them.
 

A responsible person

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:
a. An officer or an employee of a corporation,
b. A member or employee of a partnership,
c. A corporate director or shareholder,
d. A member of a board of trustees of a nonprofit organization,
e. Another person with authority and control over funds to direct their disbursement,
f. Another corporation or third party payer,
g. Payroll Service Providers  or responsible parties within a PSP
h. Professional Employer Organizations  or responsible parties within a PEO, or
i. Responsible parties within the common law employer .
 

For willfulness to exist, the responsible person:

 
a. must have been, or should have been, aware of the outstanding taxes and
b. 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.
 

How IRS determines responsibility

 
You may be asked to complete an interview in order to determine the full scope of your duties and responsibilities. This form is a 4180 and can be found on our website.
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.
 

How the trust fund penalty is calculated

The amount of the penalty is equal to the unpaid balance of the trust fund tax.
The  trust fund penalty is computed based on:
1. The unpaid income taxes withheld, plus
2. 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 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 (PDF), Your Appeal Rights and How to Prepare a Protest if You Don’t Agree, for a clear outline of the appeals process.
If you do not respond to the IRS letter, the IRS will assess the penalty against you and send you a Notice and Demand for Payment.
Important : You must file your protest within the 60 or 75 day period depending on your situation. If you fail to file this protest IRS will proceed with the assessing in the collecting of the trust fund penalty tax.
 

Caution  of what is coming next

 
Once the IRS asserts the trust fund penalty, IRS can take collection action against your personal assets.
IRS can file a federal tax lien or take levy or seizure action. They can put a levy on your bank account or execute a wage levy that will continually take your paycheck until the levies are released.
contact us today and speak directly to tax attorneys, certified public accountants, or former IRS agents. We are tax experts when it comes to IRS payroll tax help and settling IRS. Tax debt.
 
Payroll Tax Help , Former IRS Agents , Help Settle Federal Payroll Tax Debt