The IRS considers failure to pay payroll taxes to be the cardinal sin of tax delinquency because a large portion of payroll taxes are withholdings from your employees. Failure to pay your company’s payroll taxes is tantamount to stealing your employees’ money in the eyes of the IRS.
As a result, the penalties for not paying your payroll taxes and filing your payroll tax returns on time are much more severe than other types of penalties. They can drastically multiply the amount you owe in a very short time.
If you are behind on your business payroll taxes, BEWARE! The IRS is extremely aggressive in collecting these types of taxes. They would rather seize your business assets, shut you down, sell your assets at auction and drive you out of business than allow you to continue to accrue additional payroll tax liabilities.
If you are behind on your payroll taxes, DO NOT meet with the IRS on your own. How you answer their initial questions may determine whether or not you stay in business. It is critical that you hire a professional representative who knows how the IRS works.
