Companies that have faced challenges during the pandemic have been given a new helping hand by the IRS. the IRS seeks to extend penalty relief regarding payroll credits. This will help business owners by no longer having to file their payroll taxes as early as expected. However, audit defenses are also being seen as something that business owners should be more forceful over. Since everyone’s taxes have been sent into chaos due to the pandemic, you have more firepower against the IRS who may come knocking about some missing taxes in prior years. In this article, you will get to know about the legal firepower- payroll tax relief and audit defense.
Why audit defense?
Audit defense is usually known as a Tax Audit. As you can imagine, it’s when the IRS combs over the details of your taxes, from years back. This may be because you have a very complex tax return as a large business or they simply did not have the time. Business review says having a professional guide such as https://creativetax.io/, can save you a lot of time and headache.. They will know how to handle these cases by doing their own mission of combing through your taxes. The IRS might just have a bone to pick, but you don’t need to be bullied by IRS agents. Your own professional or team of audit defense professionals will make the case in your favor. It could be that the tax laws were not clear, you paid too much in one area than you should have after mistaking it for something else, or it could be that they are completely in the wrong and legal ambiguity in the wording go the policy could save you.
Payroll taxes is a percentage of the employee’s pay that is held back by an employer, to pay the government from the tax of their salary, tips or some kind of paid expense to employees. They are deductive from the employee’s earnings and paid to the IRS. According to the Journal of Accountancy, payroll taxes are being eased as employers are no longer being expected to meet the deadlines. Notice 2021-24, says it gives “penalty relief under Sec. 6656 for an employer’s failure to timely deposit certain employment taxes with the IRS.” This will come as a godsend to many employers. The relief is targeted at employees who will b e required to pay for sick leave wages, and those that are taking family leave such as a holiday. The relief comes as part of the Families First Coronavirus Response Act. However if you think you should fit under this relief package and new relief bill, then you should have experts like https://creativetax.io/ fight for you side.
If you would like to have some legal professionals help your business get to grips with the new changes in law, get a relief plan for payroll taxes and defend your taxes if you’re under tax audit, then contact us today. Call us now on (844)-791-0988 for a FREE consultation.