Trust Fund Recovery Penalty

IRC §6672

The Trust Fund Recovery Penalty (TFRP) is a penalty against any responsible person required to collect, account for, and pay over taxes held in trust who willfully fails to perform any of the activities. The TFRP may be imposed for:

The TFRP basically imposes a personal assessment equal to 100% of the employment tax that was withheld and not paid, or that should have been withheld. Thus the business is remains liable for the employment taxes but so does the individual(s) for which a Trust Fund Recover Penalty has been assessed. Thus the IRS may reach the business assets or the individual(s) assets to satisfy the liability. Trust Fund Recovery Penalties are not dischargeable in bankruptcy.

Read More

Related Content:

Tax Topics Blog

Marijuana Accounting and Legal Compliance

Mon, 3 Jul 2017 19:08:00 -0500

The Cannabusiness Plan

Fri, 30 Jun 2017 18:55:00 -0500
Marijuana Accounting and Legal Compliance
Mon, 3 Jul 2017 19:08:00 -0500
The Cannabusiness Plan
Fri, 30 Jun 2017 18:55:00 -0500

Request a Consultation

   
Our Team   |   Disclaimer   |   RSS   |   Privacy
© Copyright 2007, 2016 Moskowitz LLP all rights reserved.
   
 
 
Linkedin icon   Twitter iconHTML5 Validation
Intelligent Design by: Shawn Hyde