Understanding Payroll Tax Problems and How a Tax Resolution Specialist Can Help

When you’re running a business, there are countless responsibilities demanding your attention—managing employees, serving customers, and keeping the books in order. But one of the most critical and often overlooked responsibilities is handling payroll taxes. Unfortunately, it’s also one of the areas where many businesses find themselves in trouble with the IRS. At Francetic Tax Resolution, I’ve helped many business owners navigate these challenges and get back on track with confidence and peace of mind.

What Are Payroll Tax Problems?

Payroll tax problems typically arise when a business fails to deposit or file employment taxes properly. These taxes include federal income tax withheld from employees’ wages, Social Security and Medicare taxes, and the employer’s share of these taxes. When a business falls behind—intentionally or not—the IRS takes it very seriously.

The IRS can impose severe penalties, assess the Trust Fund Recovery Penalty (TFRP) against individuals in the company, and take aggressive collection actions, including bank levies or even shutting down the business. It’s not something that can be ignored or pushed aside.

Common Causes of Payroll Tax Issues

• Cash Flow Problems: Businesses sometimes “borrow” from payroll tax funds to cover other expenses, hoping to catch up later.

• Misclassification of Workers: Treating employees as independent contractors can lead to major tax liabilities.

• Inadequate Bookkeeping: Poor record-keeping or lack of knowledge about tax deadlines can result in missed payments or filings.

• Business Growth: Rapid expansion can create a situation where tax obligations outpace the business owner’s ability to keep up.

How We Can Help

As an Enrolled Agent with nearly two decades of experience, I’ve seen how overwhelming and stressful these problems can be. But the good news is, you don’t have to face the IRS alone.

Here’s how I help business owners with payroll tax issues:

1. Immediate Protection from IRS Actions

If the IRS is threatening levies or garnishments, I step in quickly to stop the action and protect your assets. I communicate directly with the IRS on your behalf, so you don’t have to.

2. Comprehensive Case Review

I conduct a full analysis of your payroll tax liabilities, filing history, and financial situation to understand the scope of the problem and determine the best course of action.

3. Strategic Resolution Plan

Depending on your specific circumstances, I may pursue options like an Installment Agreement, an Offer in Compromise, or Penalty Abatement. Every solution is tailored to your unique needs.

4. Personalized, Ongoing Support

You’re never just a number here. I personally handle your case from start to finish and provide monthly updates so you’re always informed. I’m committed to returning all calls and emails within 24 hours—because you deserve responsive, caring support.

Don’t Wait—Payroll Tax Problems Get Worse Over Time

If you’re behind on payroll taxes or have received notices from the IRS, it’s critical to take action now. Ignoring the problem only leads to more penalties and more stress.

Let’s work together to resolve your payroll tax issues and get your business back on solid financial ground. Reach out to Francetic Tax Resolution today for a confidential consultation.

1. Don’t Ignore the Problem

Ignoring IRS letters or notices won’t make them disappear—in fact, it will likely make things worse. The IRS has powerful collection tools, including wage garnishments, tax liens, and bank levies. The sooner you take action, the better your chances of minimizing penalties and protecting your assets.

2. Stay Calm

Receiving an IRS notice can feel overwhelming, but don’t panic. The IRS must follow specific procedures, and you have rights as a taxpayer. Many tax problems can be resolved with the right strategy and expert representation.

3. Read Every Notice Carefully

IRS notices contain critical details about your tax issue—whether it’s unpaid taxes, missing returns, or filing errors. Reviewing these notices carefully will help you understand the problem, the deadlines involved, and the steps needed to resolve it. Missing a deadline can severely limit your options.

4. Respond Promptly or Seek Professional Help

Failing to respond to the IRS can escalate your situation, leading to more severe penalties or aggressive collection actions. If you’re unsure how to proceed, seeking professional guidance is essential. A tax resolution expert can help you respond correctly, avoid costly mistakes, and protect your rights.

At Francetic Tax Resolution, we act as your advocate, handling all communication with the IRS and negotiating the best possible outcome on your behalf. We have helped countless clients in Southern Wisconsin and Northern Illinois find relief from IRS issues with customized solutions tailored to their unique situations.