michaelmars Posted October 13, 2013 Report Posted October 13, 2013 Have a new company that is starting payroll but will he be able to avoid penalties for not making the required tax deposits? He is another bank account until the bank opens one for this business but doesn't want the new employees to be on his other businesses payroll accounts. Just another inconvenience by the shut down that also shut automated computer systems and things that didn't need to be shut. Quote
jklcpa Posted October 13, 2013 Report Posted October 13, 2013 I can't tell you how best to actually pay the employees since the company can't open a bank account, but I think the fact that you are unable to obtain the EIN would fall under a reasonable cause for not being able to pay the tax liabilities. From circular E (bold is mine): Penalties may apply if you do not make required deposits on time or if you make deposits for less than the required amount. The penalties do not apply if any failure to make a proper and timely deposit was due to reasonable cause and not to willful neglect. The IRS may also waive penalties if you inadvertently fail to deposit in the first quarter you were required to deposit any employment tax, or in the first quarter during which your frequency of deposits changed, if you timely filed your employment tax return. 3 Quote
joanmcq Posted October 14, 2013 Report Posted October 14, 2013 Is the automated EIN shut down too? I thought all the automated stuff was working. Quote
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