Employers: Not Handling Taxes Over is a Crime

The Justice Department recently warned employers that they're legally responsible for collecting and submitting to the IRS taxes withheld from employees. They also must pay their portion of Social Security and Medicare. 

The department stressed: "Employers who view amounts withheld from employee wages as a personal slush fund, treat withheld employment taxes as a loan from the government that can be repaid if and when they see fit . . . are engaging in criminal conduct and face prosecution, imprisonment, monetary fines and restitution."

For more information, contact Marcia Geltman, CPA and Tax Partner at (973) 328-1825.