i have an s-corp for software consulting revenue, contributor myself. i ran payroll for x amount of money and paid personal taxes, remaining company money i invested in another business from my personal account, not company account. i lost all the investment and can not pay taxes now.
what are my tax implications, how can i tell irs i can not afford to pay company taxes now.
Your questions is a bit vague. What company taxes are you referring to? You cannot avoid paying the trust fund portion of payroll taxes, and S Corps. usually are not liable for income tax.
Phillip M. Smith Jr.
Los Angeles Tax & Business Attorney
Licensed in the United States Tax Court
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Generally if they were true business investment loses then the S Corp income may be zero out and you may not owe any taxes.
Please contact a good tax accountant/CPA to be sure.
Otherwise you will pay over time plus penalties.
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Please consult a tax attorney. If you owe payroll taxes, you will be personal liable for the trust fund amount. Please make sure you file timely (it is already late, but file ASAP to avoid further late filing penalties.)
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Your situation should be reviewed by a tax professional to determine what your options are at this point and where you are at procedurally with the IRS. The best approach is usually to hit this head on and not ignore it. If you are interested I offer a free one hour consultation. Give me a call or post a message here or on my website.
H. Daniel Lively, Esq., LL.M., CPA Certified Tax Specialist, CA Board of Legal Specialization firstname.lastname@example.org www.USTaxRescue.com 714-708-2593 Mr. Lively is a Certified Tax Specialist by the State Bar of California Board of Legal Specialization. He can be reached at 714-708-2593 or USTaxRescue.com.Any individual seeking legal advice for their own situation should retain their own legal counsel as this response provides information that is general in nature and not specific to any person's unique situation. Circular 230 Disclaimer - Advice given in this response cannot be used to eliminate penalties with the IRS or any other governmental agency.
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