Did You Have Tough Times and Not Pay IRS Payroll Taxes?
Payroll Tax Problems. We at RMS Tax Consulting have specialized in payroll tax problems / 941’s /940’s for many years. When helping a taxpayer that has a payroll tax issue one of the first courses of action that we take is bringing the taxpayer into compliance by directing him to hire a payroll service such as ADP. The reason we do this is to prove to the IRS that the taxpayer is showing a good faith effort to not contribute to more payroll tax problems. If the taxpayer is already compliant or his company is closed and he simply has a payroll tax problem, this then becomes a collection action from the IRS. In most cases, a payment plan that is suitable for the taxpayer is implemented based upon our ability to understand the IRS tax code pertaining to what a taxpayer does and does not have to pay.
There are a lot of myths in regards to payroll tax problems with the IRS. One of the biggest myths consists of who is actually responsible for the payroll tax problem? Unfortunately, the IRS views a payroll tax problem as the worst type of tax liability to owe. The IRS will try to assess liability for the payroll taxes owed from as many people as possible. This includes but is not limited to all owners, officers, book keepers, spouses, and in some cases even the secretary who passes out the payroll checks. RMS Tax Consulting has been extremely successful in limiting the liability for numerous individuals within the company who are experiencing payroll tax problems.
Example: We have had various clients that have owed hundreds of thousands of dollars to the IRS in payroll tax problems who were declared currently non-collectible.
We cautiously advise that no taxpayer should deal with the IRS on their own concerning a payroll tax problem. The reason behind this is because the IRS has to conduct what is known as a trust fund recovery interview with the taxpayer. They ask you very complicated questions in order to access liability to as many people as possible within the company. Answering these questions require a great deal of skill and knowledge of the IRS laws in order to limit the exposure to the responsible parties involved.
RMS Tax Consulting has successfully been able to stop the IRS from closing any of the companies that we represent. This is imperative to know because in most payroll tax problems, the agent who is assigned to the case will immediately start seizing assets of the company which includes but is not limited to accounts receivables, credit card merchant accounts, bank accounts, equipment, fixtures and furniture. This usually means the company has to close its doors. If there is still an outstanding balance on the payroll taxes then the IRS begins collections on all responsible individuals personally. Once again, this means the IRS will begin collection actions such as wage garnishments, bank levys and seizing of cars/properties.
Many taxpayers don’t believe that the IRS would take such drastic measures but with our inside knowledge of the IRS, we have seen many agents who have been overly zealous and even ruthless in their methods of collections for payroll tax problems. The reason some of the IRS agents are like this is because they feel that the taxpayer has stolen money from the government and their employees. At JG Associates we vigorously defend our clients before the IRS so these overly aggressive collection actions do not happen.
Call Richard Schickel today at 520-448-3531 to successfully resolve your payroll issues / 940’s/ 941