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Archive for June 2nd, 2021

Choosing a Trustworthy Payroll Service for your Business

Wednesday, June 2nd, 2021

As a business owner, one of the most important things you can do is choose a reliable and trustworthy payroll company. The obvious reason to choose a good payroll company is to keep your business up to date with all your tax payments and tax return filings as well. It is very easy to fall behind when it comes to your payroll filings/payments which is one of the main reasons that you need to find a reliable company that will keep you up to date each quarter.

Although most payroll companies provide great service and are reliable there are a few each year that will close down without warning and not submit the payroll tax payments they were suppose to. Along with these companies that close with no warnings there are also dishonest payroll persons out there that you need to watch out for. What a dishonest payroll person will do is essentially have you, as the client, give them the money for your payroll tax liability each quarter with the expectation that they will then submit it to the IRS and your local state tax department. The scammer will then end up keeping the money and never submitting each. The unfortunate part of this, beyond the fact that your money was stolen, is that you are still liable to pay the taxes. You are still legally required to pay these taxes.

You should do your research on payroll companies before committing to one to make sure they are trustworthy. You also want to familiarize yourself with what the company is responsible for paying and making sure they do it every quarter. The IRS encourages business owners to enroll in EFTPS (online IRS payment system) and make sure their payroll companies submit their payments using this method. This will allow you to login into the EFTPS website and make sure your payments are being made to the IRS.

Please consult your tax advisor on all the above information.