Payroll Tax Crimes

By: Nehemiah Jefferson, Esq., LL.M.

Small business owners have many tax compliance responsibilities.  This includes making sure that payroll taxes are paid to the IRS.  Failure to remit payroll taxes could subject an owner to both civil penalties and criminal charges.

An owner who fails to remit owed payroll taxes could be subjected to the Trust Fund Recovery Penalty under IRC Section 6672 as a responsible party. Even worse, since the IRS and the Department of Justice has made payroll tax compliance a priority, an owner could face criminal charges under IRC Section 7202 for the willful failure to pay employment taxes or tax evasion under IRC Section 7215.

If you have a payroll or employment tax issue, hire a tax attorney immediately to receive the most complete legal advice.

Nehemiah Jefferson, Esq., LL.M., is Principal of Esquire Tax Firm PLLC. The firm practice areas include Civil and Criminal Tax Representation, Estate Planning, Probate, and Business Planning. He earned his Bachelor’s degree from The Florida State University, his Juris Doctor from John Marshall Law School (Atlanta), and LL.M. in Taxation from the University of Alabama. Attorney Jefferson is licensed to practice law in the State of Florida, Texas, The District of Columbia, and is a member of the United States Tax Court Bar. He may be reached at www.esqtaxfirm.com.