Payroll Taxes - The Highest IRS Collection Priority

941 payroll tax or taxes are high on the list, as far as collection is a priority. These taxes are those which employees pay checks in trust and should be sent to the federal government withheld. To do an alarming number of businesses file or pay taxes, 941, and the consequences can be severe.

The IRS views not quickly to the conveyance of such taxes as "stealing".

They refuse workers taxes "in trust" - that is, your employees trust you will be paid with this money tothe government on their behalf. By not paying this tax to the State Government will see how you put the money. The IRS is particularly hard with the income tax because they have money out twice. The reimbursement by the employees of its source comes from tax money that was never paid.

Revenue Officer Assignment

Payroll liability of U.S. $ 10,000 is not treated by the IRS Automated Collection System. The case isan IRS agent assigned to specified revenue officer, who has a mission: library. This agent calls the shots on the negotiations, charges and possible confiscation of property. With personal taxation, there are many possibilities, but with 941 taxes to the IRS much more aggressive. Options such as the offer in compromise (OIC) or currently not collectible status are much more difficult to obtain, and the payment plans will be in tight deadlines for the information.

The reason is an OIC difficult is the minimum amount is the value of a business' assets before even be considered only income. In addition, for the public portion of trust fund amount was added to the offer. And third, OICS Normally this means is closed, the company on assets to liquefy and to pay the bid amount - a fact that occurs very frequently.

The revenue officer is collected with a view of the entire outstanding debt, and will only settle for less when it is clear there is no other way.

Consequences of not paying 941> Taxation

When payroll taxes are not paid, the revenue officer may use all assets and close the deal. The IRS sees no reason for you to stay in business if it is old debt and incur new taxes are never paid.

In addition to liens or charges against assets, payroll tax debt for a personal tax matter. Who is responsible for the payment of personal income tax may be assessed on Civil Trust Fund Penalty. This penalty isPart of a total of 941 tax and the IRS can pursue participation in the payroll tax issues for this amount. Company officers, accountants, or people with check-certification are targeted. Even worse, the IRS has not split the Civil Trust Fund Penalty. If the penalty is $ 80,000, for example, they can for each and all these people for the full year, $ 80,000. Who could pin down first put the entire amount.

After the Civil WarTrust Fund Penalty has been assessed you, the IRS then against your assets.

Many of the payroll tax issues occur because the consequences are not known or not taken seriously. But even with the right presentation, this is a very serious situation. Can the IRS really take advantage of tax of the company, its assets, or turn it off? The simple answer: Yes, if it comes, dass