Q: Can the IRS close my business if I owe back employment taxes?
A: The IRS certainly has the power to close your business and seize all of the business assets including the accounts receivable. However, you don’t have to let it get that far. The IRS is greatly concerned about businesses keeping current with their employment tax deposits even if the business owes back employment taxes. If you are currently depositing all of the required employment taxes on the time schedule that is required by law, then the IRS will be willing to work with you on the back tax debt. You must do everything that you can to be current with all future deposits. Then, don’t ignore the fact that you owe back taxes. Contact a tax lawyer who can help you resolve the problem with the IRS. Contact the Lazarow Law Firm at 520-623-5856 for ideas about how to become current with your employment tax deposits and to discuss resolution of the back tax debt.