Payroll Trust Fund Tax

The Trust Fund Penalty act was enacted in 1998 to assist in collecting back payroll taxes due to the government. These taxes can include payroll or federal excise taxes. A trust fund penalty recovery could spell disaster for the entrepreneur, corporate manager, director, officer or employee who fails to pay their taxes. The general rule for this that any person required to collect, truthfully account for and pay over any tax imposed by this title who will fully fails to collect such tax, or truthfully account for and pay over such tax or will fully attempts in any manner to evade or defeat any such tax payment thereof, shall, in addition to other penalties provided by law, be liable to a penalty equal to the total amount of the tax evaded, or not collected, or not accounted for and paid over.

Anyone who has a degree of responsibility can be liable regardless of title which is included as a director who is not an officer or employee as long as he was responsible for the payment of the withholding taxes. The IRS can asses those who are in the corporation who they find to be both willful and responsible for the nonpayment of their tax funds to the government. If business owners have financial trouble and they fail to pay these taxes because they do not have enough money... ...read full post

Many people from all walks of life can end up with unwanted attention from the Internal Revenue Service. From the average Joe to self employed professionals to officers in large corporations. Even the odd politcian here and there ends up in the spotlight for serious tax problems.Further more tax problems also come in all shapes and sizes with many causes – everything from not filling, filling incorrectly, owing back taxes, payroll tax problems or even criminal tax evasion.

The one thing troubled taxpayers have in common is not their problems but the solution. IRS Tax Lawyers. IRS tax lawyers have the knowledge and experience to get federal tax problems back under control.

It’s important to note not every tax problem is the same, not every resolution will be the same, but overall there are a few main programs tax lawyers will relay on for many cases and they include most notably the offer in compromise, innocent spouse relief, installment agreements, currently not collectable or hardship status, penalty abatement, bankruptcy protection and reasonable cause.

A skilled IRS tax attorney will know which of these programs will be the correct choice depending on the circumstances the taxpayer is in. Many people have seen TV commercials advertising settling huge tax debts for “pennies on the dollar” however in most cases the tax payer will not qualify for such a program. However an attorney will be able to negotiate to either reduce the debt down or break the amount into payments, or delay the collection... ...read full post

If your Florida business has been drawing from the payroll trust fund to keep your lights on you will need help from a local payroll tax lawyer.

Few tax problems get the IRS’s attention like payroll tax issues. The IRS will pursue any laps in the payroll trust fund payments aggressively and the consequences of failing to either satisfy the amount owed or respond with legal representation will be severe.

If you are using the payroll trust fund money from your employee’s paychecks, it may seem to you a convenient way to get by in a tight spot, but the IRS will look at this as stealing from both your employees and the Internal Revenue Service at the same time!

Further more the collections efforts the IRS will employ to settle the tax debt are ruthless. They simply do not care if your Florida business survives or not – they want their money at all costs and will put a padlock on the doors and auction off all of the businesses assets to get it.

There is hope however! If you act before it’s too late a skilled Florida payroll tax attorney can put the collections efforts on hold while your tax settlement case is negotiated for your behalf. It’s important to get qualified legal help from a local Sarasota Tax Attorney and not from a large tax service. Only a local tax attorney will have the knowledge, skills and commitment to successfully represent a Florida business owner during a payroll trust... ...read full post

Are you worried about your IRS problem? Losing sleep? Join the club. I hear that a lot. People will sit up at night and let their IRS problems eat away at them, night after night…causing them to lose sleep.

Is your IRS problem worth sacrificing your health…or your life? Stress can be a killer. Literally. Stress can lead to heart attack, hypertension, stroke, cancer, diabetes, depression, obesity, eating disorders, substance abuse, ulcers, irritable bowel syndrome, memory loss, autoimmune diseases (e.g. lupus), insomnia, thyroid problems and even infertility.

Procrastinating and hoping that your IRS problems will just go away is causing you a boatload of stress…But chances are that you may not have considered what that stress is doing to your body on a long-term basis.

What about the effects on your marriage? Numerous studies have shown that the money problems are the #1 source of arguments in marriage. Money problems caused by credit card debt, loss of a job, unforeseen expenses – you name it...all of these can be stressful on a marriage. But if you toss an IRS problem into the mix, you may have a recipe for disaster.

The IRS has more far-reaching power than any collection agency could. So if money problems cause arguments, IRS problems can cause absolute catastrophe. Divorce follows as a result, it introduces another whole host of problems emotionally and financially.

You have one chance at life (as far as I know…) don’t waste another minute worrying about the IRS. The average life... ...read full post

Running a company or just running the personal finances is not always going to be so easy. In fact, those who do not follow the law and pay their taxes might run into a lot of trouble with the IRS. There are many out there who will turn to a tax attorney for the right amount of help. There are numerous tips to look into before hiring an individual for the much needed job. Those are in need of various services including strategic tax planning will need to make sure that they use this guide right now. This is the best way to seek a tax attorney - hire a business tax attorney within the shortest amount of time possible. Take note of the services that are offered to individuals and how the professional will be able to help. The sooner the search begins, the sooner the taxes can be taken care of so get started.

It is important to sit down and assess the current needs. Those who are thinking of opening their own business do need to ensure that everything is put in order, before the doors even open. This is going to include hiring the right people to guide the individual through the process so that they do not run into any trouble. The business owner needs... ...read full post

Why the IRS Deals So Harshly With Businesses That Don’t Pay Their Payroll Tax

Not paying payroll tax is something the IRS considers very serious. As an employer, you are responsible for withholding part of your employees’ wages to pay their: Income tax and FICA (Social Security & Medicare) tax.
Since the employees place their trust in you that you are taking this money out of their paycheck and are paying these taxes with their money, they are called "Trust Fund Taxes".
However, if for any reason you fail to pay this money - in the eyes of the IRS you have betrayed the “trust” of the employees and you have taken money that does not belong to you.
Therefore, the IRS can be particularly aggressive with businesses that don’t pay their payroll tax.

If you owe payroll tax, the IRS may exercise their authority to collect by using the Trust Fund Recovery Penalty (TFRP) against you. If it’s determined by the IRS that you are the responsible party for collecting the taxes, and you willfully failed to file them, you will be notified with the plan to assess the TFRP against you. You will then have 60 days to pay the tax or appeal.

If you don’t pay the tax or appeal, the IRS may do everything in their power to get the money, which may include the following:

• Seize your personal assets


• Place a lien against your property... ...read full post