$100K Payroll Tax Due ‘Tomorrow’
Return to main page
Wrong. If a business's payroll-tax liability reaches $100,000 or more on any day during a deposit period, that amount is due immediately the next day to the IRS, regardless of your payment schedule, explains Michael Giammalvo, a tax manager at Crowe, Chizek and Co., a public-accounting and consulting firm in South Bend, Ind.
For employers on a monthly schedule, hitting that $100,000 mark would automatically accelerate you to a semi-weekly schedule for the rest of the calendar year and for the following calendar year as well.
Although the rule is not new, it's one that can easily be forgotten by small employers who handle payroll internally, Giammalvo adds.
For more information, see "Misuse of Withheld Tax Dollars" in the Premiere issue of The Edward Lowe Report.
Related Articles
How to Avoid Antitrust Violations
CEO Confidential: An Ex-employee’s $1,000 Lie
How to Choose the Right Lawyer For You and Your Business
Safeguard Your Assets
When to Hire a Personal Security Team
Articles in our Entrepreneur’s Resource Center appeared in print and online newsletters published previously by the foundation. More than 1,000 articles can be found in the categories below, addressing timeless challenges faced by entrepreneurs of all types.
