Can the IRS hold a past employee responsible for the company not paying taxes?
I was a former employee of a construction company and always told the boss that we did not have the funds for taxes and that he needed to put money in the bank. I was an acting office manager but never signed any documents stating I was in charge. I told the accountant that I could not pay the amount and I told the bookkeeper as well. I now have a letter from the IRS asking me to meet with them! I am terrified! I did do the payroll for all employees and told the owner, the accountant and the new bookkeeper that I did not have the funds to pay the taxes. I was fired in June of 08 and the IRS is asking for the taxes in the 1st quarter and the 2nd quarter of this year. I was not employed for the 2nd quarter and how could I be held responsible? All proof is at the old job site and on the computer! I wrote notes and notes stating that I had told the owner that there were no funds for taxes. I was just employee I did not hold shares nothing! I wasnt an officer I had nothing tieing me to his business other than I worked there.
Asked By: tinker143 - 11/20/2008
Best Answer - Chosen by Asker
As somebody with some authority, the IRS may consider you "eligible" to be gone after for those withheld payroll taxes. They generally go after the owners (which I assume you are not) and some people that might have inside info. Their purpose in going after you is they are hoping that you will roll over and spill... More
Answered By: Bob F - 11/20/2008
Additional Answers (6)
If you had your own taxes taken out of your check, you are not liable for what a company does w/ their share.
Answered By: Your Friendly Jewish Accountant - 11/20/2008
Payroll taxes are serious business. If the IRS concludes that you had authority to make/not make the payroll deposits, yes, it can hold you liable.
Answered By: v b - 11/20/2008
If you did not have the fiduciary responsibility then you are not in trouble. If you can prove you notified the accountant and the boss of the shortfall, then you have covered your bases. I assume the IRS is trying to find out who to pursue for back taxes, interest, and penalties.
Answered By: lestermount - 11/20/2008
First of all, stop worrying... More
Answered By: Barry auh2o - 11/20/2008
Just because the IRS wants to talk to you is no reason to panic. They are trying to get the facts.
Answered By: Steve L - 11/20/2008
Hire a representative (attorney, enrolled agent, CPA) to state your case to the IRS. Do not go to the meeting yourself, you are terrified... More
Answered By: ninasgramma - 11/20/2008
Over 483 Local Jobs Now Hiring In Your Area. $18-$87/Hr - Apply Today!
Click. Search. Apply. Free!
Earn $95/hr Bookkeeping Right From Home. Free Video Explains All!
Jobs hiring now near your local area. Find a job and apply now.
Other Career Questions
What is your current job? Why did you choose this job? What do you enjoy about your job? What do you dislike about your job? What would be your perfect job? Would you rather have this j...
Where are the jobs? Is productivity and globalization creating a permanent “recession” of jobs? My main issue is I am doing a paper for school and have no idea where to begin. I was hoping suggestions...
Hi ok im 19 and about to start college to do an acess course into a university. Ive been browsing through all the courses and im tottaly stuck! I thought politics but im scared ill end up with some r...
Content is not owned or controlled by Monster. Any content concerns should be addressed with Yahoo!
Yahoo! Does not evaluate or guarantee the accuracy of any Yahoo! Answers content. Yahoo! Disclaimer.
Best-Paying Work-from-Home Jobs
It’s easier than ever to work from home. Of course, not every job is a mobile job, and some companies aren’t interested in having their employees work from home.
2013 Marketing Jobs Outlook
The US may be facing another year of anemic hiring overall, but that won't be the case in the high-orbit world of multichannel, digital media marketing.
2013 Engineering Jobs Outlook
Engineers will find job opportunities in select disciplines in 2013, with candidates who are all-around, client-oriented businesspeople in demand.
Best-Paying Jobs by Major
What could you earn with a particular four-year degree? Find out by checking out this list of the top-paying jobs for 20 of the most common majors.
Eight High-Paying, Secure Jobs
Want to earn a good salary and enjoy a measure of job security as well? Check out these well-paying jobs on tap for fast growth in the coming years.