Payroll tax problems are a huge source of small business failures. Get expert payroll tax problems help today at 800-401-5926 and talk to the Tax Resolution Institute.

Who Do You Pay and How Do You Do It?

The ins-and-outs of employees vs outside contractors Employee vs Independent Contractor – Overview If you run a business and get support from workers other than yourself, you have probably asked yourself the question "should I pay these people as employees or as outside contractors?" In order to convince yourself that you made the correct decision, maybe you thought that since you only use one person or just pay for part-time help that you qualify to pay your workers as independent contractors.  To save money and hassle, some people lean toward the latter and learn they made the wrong decision the [...]

U.S. Court of Appeals Says Payroll Tax Mistakes “Not Willful”…

Payroll tax problems? Call (818) 704-1443 for expert help. A recent case decided by the Sixth Circuit Court of Appeals overturns the findings of the lower court which held that Roger Byrne and Eric Kus of the Eagle Trim company were the responsible parties in "willfully" not paying payroll taxes. This case is significant owing to the rarity with which these cases are successfully defended. "ALICE M. BATCHELDER, Circuit Judge. The Internal Revenue Code, 26 U.S.C.6672, permits the United States to recover unpaid trust-fund taxes from persons responsible for paying those taxes, if they willfully failed to pay [...]

“No Soup for You!”…The Company that Inspired Seinfeld Character has Big-Time Payroll Tax Problems!

Payroll tax problems can add up quickly In case you were worried, we should clarify that the original owner and Seinfeld “Soup Nazi” character inspiration Al Yeganeh has NOT been charged in this case. Rather, the company’s (Soupman, Inc.) CFO Robert Bertrand has. Apparently Mr. Bertrand has been "cooking the books" by paying employees in cash and stock in order to avoid the company’s tax obligations. The IRS estimates that based upon the amount paid “under the table”, the lack of Social Security, Medicare and Federal income tax deposits have led to a shortfall of about $600,000 in [...]

2017-06-08T10:25:29-07:00June 8th, 2017|Payroll Tax Problems|

As May Filing Deadline Comes for Tax-Exempt Orgs, Payroll Tax Problems Arise

For those of you that run a tax-exempt organization, did you know that the May filing deadline for Form 990-series information tax returns is quickly approaching? With this deadline quickly approaching, many tax-exempt organizations find themselves caught in a bind. In addition to minding the time to file, such filings often uncover ancillary issues for tax-exempt organizations such as payroll tax problems. May Filing Deadline Shifted Although their business missions are well-intentioned, and we all know they do a tremendous amount of good, tax-exempt organizations often stumble into payroll tax problems through poor management or lack of knowledge.  As a side [...]

4 Common Mistakes That Small Business Owners Make

The Tax Resolution Institute works with countless business owners helping to resolve their tax problems.  These issues can range from something as simple as failing to file a tax return to being help personally responsible for failing to make the company’s IRS payroll tax deposits.  Most business owners with tax problems understand that these issues come  more than one at a time.  Keep reading to finding out what mistakes many business owners make that lead to tax problems… […]

Risks To The Small Business Owner Intensified After Employment Taxes And Trust Fund Court Decisions

Problems with employment taxes and the employee trust fund can be the death knell for a small business owner. The California District Court’s decision in United States v. Guerin illuminates the personal risks that small business owners and company executives face in regards to the trust fund and employment taxes. Responsible officers can face personal liability for their company’s unpaid employment taxes if the failure to pay over the taxes is determined to be willful. Risks To The Small Business Owner The Judge Does Not Care For Executive Excuses What the Guerin decision truly demonstrates is that willfulness is not [...]

Did You Know A Corporate Executive Can Be Held Responsible For The Trust Fund Recovery Penalty?

When it comes to the trust fund recovery penalty, the risk of personal liability for unpaid employment taxes has never been greater. In 2014, a district court in the Northern District of California held that the officer of an even now-defunct corporation is personally responsible for the Trust Fund Recovery Penalty based upon the company’s failure to collect, account for, and pay over federal withholding taxes. (See United States v. Guerin, 113 AFTR 2d 2014 N.D. Cal. April 28, 2014). Such a reality could be a potential threat for every corporate executive if they are signing on the bottom line. [...]

Nonprofit Organizations With Payroll Tax Debt Need Tax Resolution Support

Payroll Tax Debt Looming When it comes to payroll tax debt, nonprofits are far from exempt. A report issued in 2014 by the Treasury Inspector General for Tax Administration reports that approximately 64,000 or 3.8 percent of all tax exempt organizations owed at least $875 million in unpaid taxes to the federal government. Sixty-nine percent of this debt was in unpaid payroll taxes. As tax resolution specialists with experience helping nonprofits, the Tax Resolution Institute can help. Nonprofits & Payroll Tax Debt This amount is down from that reported by GAO in 2007 when 55,000 nonprofits were reported [...]

Payroll Services Owner Pleads Guilty In Criminal Payroll Tax Case In Los Angeles Federal Court

A conviction in a Southern California payroll tax case shows how serious the IRS is when it comes to paying payroll tax liabilities. After an investigation by the Los Angeles Field Office of the Criminal Investigation Division of the IRS, the owner of a Riverside-based payroll service pleaded guilty in the payroll tax case on January 5 to failure to pay federal payroll taxes intended for the Internal Revenue Service. As the co-owner and operator of Paycare, Scott Willsea embezzled from a federally funded program. Willsea entered a guilty plea in federal court after making a plea agreement with prosecutors. [...]

Three Tax Tips For Small Business Owners To Help Avoid Employment Tax Problems

Why are so many small business owners suffering from employment tax problems and payroll tax issues? The Tax Resolution Institute want to help by providing three tax tips to help small business owners with business tax questions and employment tax problems. After all, the Tax Resolution Institute has a long history of helping business owners with payroll tax issues and trust fund recovery difficulties find the tax relief they so desperately need. Employment Tax Problems Avoided Facing Employment Tax Problems Although these three tax tips are not the answer if you have serious payroll tax issues, they will [...]