The State Tax Department views failing to pay payroll taxes as the cardinal sin of tax delinquency because a large portion of the payroll taxes are your employees' withholdings. Not paying your company's payroll taxes is equivalent to stealing your employees' money in the eyes of the State Tax Department.

As a result, penalties for failing to pay your payroll taxes and filing your payroll tax returns on time are much more severe than other types of penalties. They can drastically multiply the amount you owe in a very short time.

If you are behind on paying payroll taxes for your company, WATCH OUT!!! The State Tax Department is extremely aggressive pursuing collection of this type of tax. They would rather seize your business assets, close you down, sell your assets at auction, and put you out of business than allow you to continue amassing additional payroll tax liabilities.

If you are behind on your payroll taxes, DO NOT meet with the State Tax Department on your own. How you answer their initial questions can determine whether you stay in business or not. It is critical you hire a professional representative who knows how the State Tax Department operates.