You had a bad week, month, or quarter, and you had difficult decisions to make. You didn’t have enough money to pay your rent or mortgage, your employees, and the state or federal government. You made what you thought was the right decision, and you paid the bills that needed to be paid immediately to keep your doors open, and you paid the employees whom you value.
Your Well-Intended Decision Can Quickly Become a Nightmare
The IRS does not care that you made the best decision that you could at the time. Instead, your good intentions can quickly backfire, and you may find yourself in serious trouble. Specifically, failing to pay employment taxes can quickly lead to serious trouble because:
- The IRS views unpaid employment taxes as high priority debt. Thus, the IRS is more likely to come after you faster and more aggressively then it would an individual taxpayer or even a business that owed other types of taxes. The reason the IRS views unpaid employment taxes as high priority debt is because you, as the business owner, were holding those taxes in trust for your employees, and your employees and the IRS expected you to pay the taxes on time.
- The IRS will credit any payments that you make to the most outstanding debt. Thus, if you missed only one payment and then began making payments again, your next payment would be applied to the overdue payment, and your current payment would be deemed unpaid. This could cause you to continue to incur penalties and never fully catch up with what you owe the IRS.
While it is best to avoid this kind of tax problem in the first place, sometimes that is impossible, and you need to know what to do to protect your rights.
Contact an Experienced Oklahoma City Tax Lawyer Today for More Information
An experienced Oklahoma City tax attorney can help you protect your rights. Please call our Oklahoma tax law firm today for more information. We welcome your call at 800-721-7054, and we invite you to read our FREE book, The Ultimate Survival Guide for IRS Problems.