Payroll Tax Help in Utah

Experienced Lawyers for Trust Fund Recovery Penalties (TFRP)

Unpaid payroll taxes and diverted trust fund withholdings put both your business and your personal assets at serious risk. When the IRS believes payroll tax deposits have been missed or used for other purposes, it can assess the Trust Fund Recovery Penalty (TFRP), pursue individuals, and move quickly with liens, levies, and forced liquidation. If you are facing payroll tax problems or a TFRP investigation in Utah, contact Pearson Butler immediately for an honest assessment of your situation.

Need immediate payroll tax help? Call Pearson Butler at (800) 265-2314 or contact us for a confidential consultation.

Understanding the Trust Fund Recovery Penalty (TFRP)

The Trust Fund Recovery Penalty is one of the most serious tax assessments because it targets the portion of your employees’ wages that you withhold for income taxes, Social Security, and Medicare (FICA). These funds are held “in trust” for the government, and the IRS treats the failure to remit them as a form of misuse or theft. The IRS is far more aggressive with trust fund payroll taxes than with most other types of tax debt.

Personal Liability: Piercing the Corporate Veil

The TFRP allows the IRS to pierce the corporate veil and assess the debt directly against “responsible persons.” This often includes business owners, but can also extend to officers, bookkeepers, controllers, or any employee who had authority over paying bills or signing checks, even if they did not personally profit. Once assessed, the IRS can pursue your personal bank accounts, wages, and other assets to collect trust fund taxes.

Immediate Consequences of Unpaid Payroll Taxes

The IRS will not stop collection efforts until the full amount has been paid or resolved. When payroll trust funds are not timely deposited, consequences can escalate quickly and may include:

• Notices of Federal Tax Lien (NFTL) filed against the business and potentially the personal property of responsible individuals.

• Levies on bank accounts and Accounts Receivable, as well as seizure of equipment, inventory, and even business real estate.

• A Form 4180 Interview, where IRS agents question individuals to determine who is a “responsible person” for purposes of TFRP assessment.

• Efforts to shutter your business, liquidate assets at auction, and pursue every available means to obtain money as fast as possible, rather than working with you over time.

You cannot afford to wait in the face of back payroll taxes or a TFRP investigation. Contact Pearson Butler as soon as possible for help.

Saving Your Business in the Face of IRS Liquidation Efforts

Pearson Butler’s attorneys have 300+ years of collective experience stepping in and saving businesses that are in payroll tax trouble. When you work with the firm, the legal team can contact the IRS on your behalf, take over communications, and advocate for a strategy that keeps your business operating while resolving the debt. The goal is to show the government it will recover more by allowing your company to continue operating under a structured plan than by shutting you down and selling assets for pennies on the dollar.

Payroll tax and trust fund cases are among the most serious types of tax debt, but every situation is unique. Pearson Butler acts quickly to negotiate arrangements that protect your business, your employees, and your personal financial future.

Business-Focused Resolution Options

Stopping aggressive collection is only the first step. The firm works to craft a comprehensive resolution that supports the long-term health of your business. Depending on your situation, you may qualify for one or more of the following options:

• Offer in Compromise to settle for less than the full balance when you meet strict qualification criteria.

• Installment agreement or Business Installment Agreement to pay the balance over time in a way that aligns with cash flow.

• Settlement agreement structures designed to give your business breathing room while you stabilize operations.

• Penalty abatement where you can demonstrate reasonable cause, helping reduce the overall amount you owe.

Why Pearson Butler is Different

• Multi-Disciplinary Counsel: As a full-service firm, Pearson Butler does not treat your tax problem in isolation. Your tax resolution attorney works directly with the firm’s Business Law and Bankruptcy teams to evaluate your company’s full financial picture. This coordinated approach helps ensure that any tax resolution plan is strategically sound and consistent with your business’s long-term operational health and viability.
• Attorneys Who Think Like Business Owners: The firm’s leadership is built on real-world experience operating and consulting with businesses on turnarounds and workouts. Pearson Butler understands the day-to-day reality of managing cash flow, payroll, vendors, and operations under pressure. The team focuses on pragmatic, business-minded solutions that protect your commercial interests, your employees, and your key relationships.
• Local Expertise in Utah Tax and Litigation: Pearson Butler’s attorneys are deeply rooted in the Utah legal and business community. They bring local knowledge of Utah courts, taxing authorities, and IRS practice in this region, combined with seasoned litigation and negotiation skills. This local insight is critical in effectively defending your interests in both federal IRS matters and Utah state tax issues.

The Danger of Going Alone

IRS collection agents often find it easier to shutter your business, liquidate your assets, and chase responsible individuals than to work with you on a long-term repayment plan. Business owners who attempt to negotiate alone frequently end up with aggressive collection actions and payment terms that are not sustainable for the business.

If the IRS seizes and sells your assets and the proceeds are not enough to cover the unpaid tax debt, they will continue to pursue you and any person found to have participated in using payroll trust funds for other purposes. This almost always includes the business owner, but can also include officers and anyone who is a signer on corporate bank accounts.

Other than paying the balance in full immediately, the only recommended course of action to save your business and resolve payroll trust fund problems is to work with an experienced attorney who understands how to guide these cases to successful settlements.

Call for Payroll Tax Help in Utah

When life happens, and your business faces a major financial challenge, Pearson Butler understands what is at stake. The team is committed to providing expert defense with competence and compassion so you can focus on rebuilding and moving forward.

Call Pearson Butler at (800) 265-2314 or contact us today to discuss payroll tax penalties, the Trust Fund Recovery Penalty, and your rights—and to start protecting your business and your future.