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Payroll Taxes

The easy way to catch up when you’re behind on payroll taxes

You Can Settle Your Payroll Tax Debt

Falling behind on payroll taxes is easy when you’re busy running a business. It’s common for employers to get behind, then face pressure from the IRS to pay. Some businesses fall so far behind they don’t respond because they can’t pay the tax debt all at once. This is a mistake, as the problem just gets worse with penalties and fees, and can eventually lead to levies against assets.

What is Payroll Tax Relief?

Payroll tax relief is a service Taxrezo offers to business owners that fall behind on their payroll tax obligations. Whether the taxes went unpaid due to error, inability to pay, or because the business closed down, you’ll still need to address the owed taxes. Our payroll tax relief services assess your circumstances and helps you understand your best options to clear your up your tax debt.

What are Business Owners Required to Withhold from Employees?

When you have employees you must withhold Social Security, Medicare and Federal Taxes from all W-2 employees’ wages. It’s your responsibility to remit these employee withholdings or payroll taxes to the IRS. There is also an unemployment tax for each employee. These payroll taxes should be sent to the IRS on a quarterly basis.

Types of Payroll Taxes and Withholding Percentages

Payroll tax rates can change year-to-year, so make sure you have the current year’s rates before filing. The following are the payroll tax rates for 2022:

  • Social Security Taxes: Both the employer and employee will contribute 6.2% for a total of 12.4%. 
  • Medicare Taxes: Both the employer and employee will contribute 1.45% for a total of 2.9% 

Self Employment taxes: Individuals running their own business can expect to pay a total rate between 15.3%-12.4% for Social Security and 2.9% for Medicare.

How we work?

Tax Penalties for Not Paying Payroll Taxes

Late Fees

The IRS will continue to charge late fees for missed payments. The fees can increase overtime.

Interest

The IRS can charge interest on top of what you owe. As interest accrues, so does the amount of the debt.

Tax Lien

Once your debt meets a substantial amount, the IRS may choose to claim a tax lien on your assets.

Loss Of Business

A tax lien may result in seizure of your property, inventory, and machinery.

Jail

Failure to pay taxes can lead to criminal charges and a conviction with a jail sentence.

Work with a Tax Professional to Resolve Payroll Tax Debt

The easiest way to get your payroll tax debt resolved is by working with a professional tax relief company that has experience with payroll tax resolution. You can try to deal with the IRS on your own, but unless you have a lot of time, patience, and knowledge, the experience is overwhelming for most business owners. An experienced tax resolution company can negotiate on your behalf and make sure you take full advantage of any IRS tax relief program that you qualify for.

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Work with Taxrezo

If you owe money to the IRS, Taxrezo is here to help. With an A+ rating from the Better Business Bureau and business licensure in all fifty states, you can feel confident that we are here to help. Our tax professionals have experience in dealing with every type of tax problem and working directly with the IRS to solve these problems for our clients.