Payroll tax problems can become serious very quickly for business owners. Missed payroll deposits, late payroll filings, unpaid employment taxes, or IRS payroll notices can lead to significant penalties, interest, and collection activity if not addressed promptly.

At Z Tax & Accounting, we help businesses in Irving, Dallas, Fort Worth, Plano, Arlington, throughout the DFW Metroplex, and nationwide address payroll tax problems and IRS payroll tax notices in a professional and organized manner.

Whether your business is dealing with late payroll filings, unpaid payroll taxes, IRS collection notices, or payroll compliance issues, our office can help you evaluate your situation and determine available options.

What Are Payroll Taxes?

Employers are generally required to:

• Withhold federal income taxes from employee wages

• Withhold Social Security and Medicare taxes

• Match certain payroll taxes as the employer

• File payroll tax returns

• Make timely payroll tax deposits

Payroll taxes are commonly reported on:

• Form 941

• Form 940

• State payroll tax filings

• W-2 reporting

• Payroll withholding returns

Because payroll taxes involve employee withholdings, the IRS treats payroll tax compliance very seriously.

Common Payroll Tax Problems

Businesses may encounter payroll tax issues due to:

• Cash flow difficulties

• Missed payroll deposits

• Late payroll filings

• Bookkeeping problems

• Misclassification of workers

• Rapid business growth

• Payroll processing errors

• Failure to issue Forms W-2 or 1099

• Business shutdowns

• IRS payroll audits

Even otherwise successful businesses can experience payroll tax compliance problems during difficult financial periods.

IRS Payroll Tax Notices

The IRS may issue notices involving:

• Unpaid payroll taxes

• Late payroll deposits

• Missing Forms 941

• Payroll filing penalties

• Deposit penalties

• IRS collection actions

• Trust Fund Recovery Penalty investigations

Ignoring payroll tax notices can result in increasing penalties and more aggressive IRS collection activity over time.

Trust Fund Recovery Penalty (TFRP)

In certain situations, the IRS may attempt to assess a:

Trust Fund Recovery Penalty (TFRP)

This may allow the IRS to pursue certain responsible individuals personally for unpaid trust fund payroll taxes.

TFRP matters can involve:

• Corporate officers

• Owners

• Bookkeepers

• Payroll managers

• Individuals with financial control or check-signing authority

These matters should generally be addressed carefully and promptly.

Payroll Tax Resolution Options

Depending on the situation, possible resolution strategies may include:

• Filing missing payroll tax returns

• IRS installment agreements

• Payment plans

• Penalty relief requests

• Collection holds

• Payroll compliance corrections

• Reviewing payroll reporting issues

Each business situation is different and depends on factors such as:

• Amount owed

• Filing compliance

• Business operations

• Financial condition

• Payroll history

Forms W-2 & 1099 Compliance

Businesses must also properly issue:

• Forms W-2 to employees

• Forms 1099-NEC to contractors where required

Failure to properly classify workers or issue required information returns can create additional IRS and state compliance issues.

At Z Tax & Accounting, we help businesses review payroll reporting requirements and address filing issues.

Payroll Issues for S-Corporations

S-Corporation owners must also carefully consider:

• Officer compensation

• Payroll reporting

• Shareholder health insurance reporting

• Reasonable compensation requirements

• Payroll tax compliance

Improper payroll handling for S-Corporation officers can sometimes lead to IRS adjustments and penalties.

IRS Representation Services

Ahsan Bashir is admitted to practice before the IRS and assists businesses with:

• Payroll tax notices

• IRS correspondence

• Payroll compliance matters

• Collection issues

• Payment plan requests

• Tax resolution strategies

• IRS representation matters

Our office works with businesses to help organize records, address payroll tax issues, and move toward compliance.

Serving DFW Metroplex & Nationwide

Our office proudly assists businesses throughout:

• Irving

• Dallas

• Fort Worth

• Plano

• Arlington

• Richardson

• Coppell

• Carrollton

• Euless

• Bedford

• Grapevine

• Grand Prairie

• Las Colinas

• Farmers Branch

We also provide secure virtual services for businesses nationwide.

Schedule a Consultation

If your business received IRS payroll tax notices or is experiencing payroll tax compliance issues, addressing the matter early can often help reduce additional penalties and collection activity.

Contact Z Tax & Accounting today to schedule a consultation regarding your payroll tax matter.

Related IRS Tax Resolution Services

• IRS Installment Agreements & Payment Plans

• IRS Penalty Abatement & Penalty Relief

• IRS Wage Garnishment & Bank Levy Help

• IRS Notices & Tax Letter Help

• IRS Audit Representation Services