Protecting You From Personal Liability For Business Taxes

Although a corporation is a separate entity from individuals within the corporation (i.e., directors, shareholders or officers), the law does provide for certain circumstances in which an individual may be held personally liable for unpaid taxes.

Section 6672 of the Internal Revenue Code provides that any person required to collect, truthfully account for, and pay over any tax but who willfully fails to collect, truthfully account for or willfully attempts in any manner to evade or defeat payment can be found personally liable. This is often a factual determination of whether someone was both willful in their actions and had the authority to make payments. Common examples of individuals who can be found personally liable include those with more authority such as shareholders, directors, officers, accountants or anyone else who signs checks or makes payments.

When Tax Penalties Arise

The IRS requires owners to pay taxes for their employees. Whether you are an owner or just the bookkeeper, you may be held liable for the amount not collected. We also handle assessed penalties against employees.

When you are individually assessed business tax penalties, the Kundra & Associates tax law firm is ready to recommend and implement satisfactory strategies and zealous defense.

Speak To Our Reputable Tax Lawyers

Avoid personal liability for your business’ debts. Seek the reputable advice and effective representation of tax defense attorneys at Kundra & Associates in Rockville, Maryland, for your personal liability corporate tax issue. Contact us when held personally liable for the tax debts of your business by calling 301-637-8130.