Accepted Answer

If the Corporate deducted payroll tax before paying him than the Corporate is required to pay such taxed to the IRS. If the Corporate has refunded the excess tax amount deducted(based on the updated W-4 since the Corporate has not yet filed the quarterly tax return or paid the taxes) than the Corporate can deposit the tax based on the correct amount deducted. Normally Corporation should make deposits of tax actually deducted.

Let me know if you have any question.

Please note: This advice is provided with the understanding that all the relevant facts have been provided by you. Any change in facts might affect the advice given and hence may not be relied on in such cases. Nothing contained in this reply was intended or written to be used, can be used by any taxpayer, or may be relied upon or used by any taxpayer for the purposes of avoiding penalties that may be imposed on the taxpayer under the Internal Revenue Code of 1986, as amended.

Expert:	RD
Pos. Feedback:	99.4 %
Accepts:
Answered:	10/28/2009

Certified Public Accountant (CPA)

CPA, MBA, Over 10 yrs of experience in tax planning and business consulting..