The short answer
The same options apply: payment plans, offers and penalty relief. But unpaid trust fund taxes can become your personal debt through the Trust Fund Recovery Penalty. Offers need deposits for the current and last two quarters. First Time Abate can cover failure to deposit penalties.
Words to know
- First Time Abate (FTA)
- IRS relief from some penalties if you filed and paid on time for the 3 years before.
- Trust Fund Recovery Penalty (TFRP)
- A penalty that makes the people in charge of a business personally owe its unpaid trust fund taxes.
- Trust fund taxes
- Taxes a business holds back from workers' pay, like income tax and the worker's share of Social Security and Medicare.