THE BEST WAY TO REPORT PAYROLL TAXES
May 17, 2022 - Douglas Myser
The best way to report payroll taxes. In IRS bulletin IR-2022-103, the IRS put out information useful for small business owners who have to report payroll taxes. They urged small businesses to take advantage of the accuracy, speed and convenience of filing their payroll tax returns and making their tax payments electronically online. During National Small Business Week, May 1st thru the 7th, the IRS was highlighting tax benefits and resources tied to the theme of the yearly celebration, which this year was titled "Building a better America through Entrepreneurship." Filing and paying taxes electronically helps entrepreneurs leave more time for what they really want to do - build their business. The best way to report payroll taxes.
What are payroll taxes ? Also known as employment taxes, payroll taxes include federal income tax withheld from employee wages, as well as both the employer and employee portions of Social Security and Medicare taxes. In addition, payroll taxes include the Federal Unemployment Tax, also known as FUTA, which most employers need to pay but is not withheld from employee wages. In some cases, backup withholding applies to payments made to nonemployees, usually because the recipient failed to provide their correct Taxpayer Identification Number, to the business making the payments. A TIN can be either a social security number, employer identification number or individual taxpayer identification number. For more information see Tax Topic No. 307.
Why E-file ? All of the returns reporting these taxes can ether be filed electronically or on paper. Though the number of payroll tax returns emailed has grown steadily in recent years--more than doubling in the last decade alone, more than 40% of them are still filed on paper. It is faster, and easier than filing on paper, and will held ease the IRS backlog of paper tax returns, clogging up the system,
IF you owe payroll or withholding taxes, call us, we Specialize in Payroll Debts and Trust Fund Penalties. We know how to negotiate with the IRS on this issue from decades of experience and trusted long learned, Tax Professionals wo know these issues. Our 36 year old Tax Resolution Company is the Fourth oldest in America. We can make your Tax Resolution experience stress free and prevent you from having to go thru a IRS Wage Garnishment by being proactive with your Tax Resolution Services. We do that by determining every option in the IRS Code for Tax Relief you have, including the IRS Fresh Start Program, and all options outside that program, then follow thru with Superior Service. Call toady for a free tax consultation. 1-888-689-7861