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Delinquent Payroll and Employment Taxes
Payroll taxes owed by a business present special challenges to the taxpayer. If payroll taxes remain unpaid, the IRS may try to seize the assets of a business that's struggling financially, or even close it down completely.

Additionally, delinquent payroll and employment taxes, also known as trust fund taxes because the employer actually holds the employee's money in trust until the federal tax deposit is made, carry a special failure to pay penalty known as the "trust fund recovery penalty."

The trust fund recovery penalty may be assessed against any person who has the duty to perform and the power to direct the collecting, accounting, and paying of trust fund taxes. This person, or persons, are known as "responsible parties."

If your business has delinquent payroll or employment taxes you may want to explore the possibility of submitting an Offer in Compromise, Installment Agreement or submitting a request for Abatement of Penalties.

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