IRS Issues Advice on Outsourced Payroll
Posted February 7, 2006
The Internal Revenue Service (IRS) recently issued the following advice to those employers who outsource their payroll to third party service providers:
“Many employers outsource some of their payroll and related tax duties to third-party payroll service providers. They can help assure filing deadlines and deposit requirements are met and greatly streamline business operations. Some of the services they provide are:
What This Means to You
Employers who outsource some or all of their payroll responsibilities should consider the following:
EFTPS is secure, accurate, easy to use and provides an immediate confirmation for each transaction. The service is offered free of charge from the U.S. Department of Treasury and enables employers to make and verify federal tax payments electronically 24 hours a day, 7 days a week through the Internet, or by phone. For more information, employers can enroll online at www.eftps.gov, or call EFTPS Customer Service at 1-800-555-4477 for an enrollment form.
There have been recent prosecutions of individuals and companies who have, acting under the guise of a service provider, stolen funds intended for payment of employment taxes. For more information, visit the IRS Website and type in the key words ‘employment tax investigations.'
Remember, employers are ultimately responsible for the payment of income tax withheld and both the employer and employee portions of social security and Medicare taxes.
|Events||Education||Member Benefits||About NFDA|
NFDA Event Calendar
Certified Preplanning Consultant Program
Certified Crematory Operator Program
Careers in Funeral Service
Licensing Boards & Requirements
All Member Benefits
NFDA Public Policy Positions
NFDA Executive Board
Governance & Structure
Code of Professional Conduct
Research & Information
Find a Funeral Home