The IRS is again attempting to notify employers that have outsourced payroll tax duties remain liable for unpaid taxes.
Even if the payroll taxes are taken by the payroll agents who then abscond with the employment taxes or fail to make the required deposits or payments to IRS, employers remain on the hook.
The IRS recommends that employers take the following steps to protect yourself if your business uses a payroll agent:
- Enroll in the Electronic Federal Tax Payment System so you can monitor deposits.
- Make sure all correspondence from IRS about payroll taxes goes to your address,
not the agent’s.
A 2015 law aimed at protecting employers from crooked payroll agents requires the IRS to send out confirmation notices when it receives an address change.
Use an IRS-certified professional employer organization to handle payroll, if possible.
Take reasonable precautions to protect yourself and your business. For questions or concern call our office.