The Trust Fund Recovery Penalty is a special kind of penalty the IRS assesses when a company withholds payroll taxes from employee paychecks but does not pay those funds to the IRS. The Internal Revenue Code allows the IRS these "trust fund taxes" directly from individuals it deems to be responsible. If the IRS deems you a responsible person, this could mean your bank accounts, home, and savings are now in the IRS' crosshairs, unless you take action to defend yourself.
The IRS must prove you had real control over payroll taxes. We dig into the facts: Who signed the checks, who made the decisions, and who actually handled payroll? The answers to these questions will help us build a case to show you were not responsible under the law.
The penalty only applies if the failure to pay was willful. Maybe you were kept in the dark. Maybe you were following orders. We gather evidence to show you did not intentionally fail to pay trust fund taxes.
If you receive a proposed TFRP assessment, time is short. We respond quickly, file formal protests, and present your case to the IRS appeals officer. This is your chance to resolve the issue before it becomes final. We know how to deal with IRS offices and revenue officers, and we do it on your behalf.
If the IRS proves you are responsible, we can still help. We can negotiate an installment agreement, and often times find a way for you to pay less than the full liability.
If we cannot resolve your case in IRS Appeals, we are prepared to proceed to tax court. Our attorneys have represented clients in complex tax litigation, and are always focused on protecting your assets and your future.
Whether you're dealing with unfiled payroll tax returns, unpaid payroll taxes, or already facing collection actions, our TFRP defense attorneys possess the knowledge and experience to guide you through these challenges toward the best possible resolution.
Call (248) 262-3400 today. We'll discuss your situation and explain exactly how we can help you address these serious tax issues.
