Trust Fund Recovery Penalty

The trust fund recovery penalty is equal to the income taxes, social security taxes, and Medicare taxes withheld from employee paychecks. The trust fund recovery penalty is authorized by Sec. 6672 of the Internal Revenue Code (IRC).

5 Must-Knows About Personal Liability for Unpaid Employment Taxes (Trust Fund Recovery Penalty)

Are you an owner or employee of a business that is delinquent with employment taxes?  If so, watch out!  It is possible that you will be held personally liable for what is called the Trust Fund Recovery Penalty. What is the Trust Fund Recovery Penalty? In short, the Trust Fund […]

Can My Business Settle its IRS Tax Liability with an In Business Offer in Compromise?

Business Offer in Compromise | Payroll Tax Settlement | 941 Employment

When the Internal Revenue Service created the Offer in Compromise program, the candidates they probably had in mind were those people who were struggling to keep the lights on, feed and clothe themselves and their children, and keep a roof over their heads.  The ideal candidate, they most likely surmised, […]

Can I Avoid Additional Tax Penalties by Designating Payments to My IRS Tax Liability?

Voluntary Payment | IRS Appeals | Installment Agreement

Answer: Depending upon the specifics of your situation, it may be possible to avoid hundreds, or even thousands, of dollars in penalties simply by “designating” voluntary payments applied toward your tax liability.  Keep in mind that payments made in accordance with a formalized installment agreement are not considered voluntary, so […]

Personal Liability for Unpaid Employer Withholding Taxes

941 Tax | IRC 6672 | Trust Fund Recovery | TaxFortress

Can I be held personally liable for unpaid 941 employer withholding taxes?  What can be done to avoid this/protect personal assets/income? If you are an owner, officer, check-signer or decision-maker at a business that is behind on 941 taxes, you are at risk of being personally assessed with a penalty […]