Hello cbunker,
If your company does not pay in the payroll taxes that were withheld from employees' checks, if you are involved in the payroll process then you could be held personally responsible for those taxes.
Typically the IRS would go after the business itself and then the owners of the company before they would resort to collection of these taxes from an employee. But with payroll taxes, it is a possbility that anyone at all who works for the company and their job involves payroll, that person can be held personally responsible if the company does not pay in the taxes that it collected from payroll.
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Thank you XXXXXXXXX
Accountant
25+ years tax consulting. Specializing in returns for US citizens living abroad
Hello again cb,
Do you know if the taxes had been paid in up to the time before you left the company?
Hello again XXXXXXXXX,
You should file Form 3949A with the IRS which is an informational report used to report taxpayers or businesses who are not complying with the tax laws.
You can explain your situation on that form, and also explain that this is the reason you left the company.
It is rare that the IRS actually needs to go after the employee in a situation like this, but filing this form with the IRS will alert them to the fact that you left this company due to their non compliance.
Thank you cb