If you have read Payroll Taxes – What They Are and Who Pays Them and The Trust Fund Recovery Penalty and What It Means If Your Business Is Delinquent On Payroll Taxes on this website, then you realize that the IRS classifies delinquent payroll tax payments by employers as “employment tax evasion schemes.” Employment tax evasion schemes are a high … Read More
IRS Agent Visit? What to Expect
QUESTION: Does the IRS really send its employees to visit people at their homes or businesses? ANSWER: Yes. Whenever the IRS believes that a person or business has not paid all the taxes it owes, the IRS may send out a field agent called a “Revenue Officer” to talk to the taxpayer in person. ROs typically work “high dollar” cases. … Read More
IRS Payroll Taxes: A Primer
Payroll taxes are taxes paid on the wages and salaries of employees. They include federal, state and local income taxes, Social Security and Medicare taxes, and unemployment taxes. Improper processing of payroll taxes is one of the most common triggers for an IRS audit of a small business and its owners. Payroll taxes include taxes paid by employees and by … Read More
IRS Trust Fund Recovery Penalty
As a small business owner, the most important thing you should understand about payroll taxes (also known as “employment taxes”) is that the IRS pays a great deal of attention to them… and that when the IRS investigates the way your business handles payroll taxes, it is actually investigating you as well. When Congress created the Trust Fund Recovery Penalty … Read More
Why the IRS Hates Delinquent Payroll Tax Problems
If you have read our article, Payroll Taxes – What Are They and Who Pays Them? on this website, you know that payroll taxes are “employee withholding taxes.” You also know that payroll taxes consist of employees’ income tax as well as their portion of Social Security and Medicare taxes. Many people fear what might happen if the IRS discovers … Read More