i just realized my company didnt take federal taxes out of my check what should i do?

Answer 1

You mean for the whole year or just one check?

If one check contact your payroll dept and find out why. In fact ask your payroll department questions. Not yahoo Answers.

If you mean the whole year that is a problem. Did you mark yourself as "exempt" or with some crazy high amount of deductions on your W-4? You're not allowed to have more deductions than you actually entitled to.

If you owe taxes you can deal with the IRS and arrange to make payments.BUT they will charge interest. Don't wait for this to become more of a problem. You do not want the IRS coming after you.

Send in what you can as a quarterly payment by Jan 15th. The sooner you get started on this the better you'll be.

Figure you'll owe about 18 percent of your gross wages.

I hope you weren't counting on a refund check!

Answer 2

If you can't get them to fix this through withholding you will need to make an estimated tax payment. You will probably be assessed a 2210 underpayment of estimated tax/withholding penalty. In order to stop the running of this penalty you need to make an estimated tax payment to both the IRS and your state. You would use form 1040ES for the federal payment. Your state will have a similar form. The 1040ES can be obtained on line at IRS.GOV., your state should have a similar offering.
I would not pay the penalty with the return when you file. I would wait until IRS sends a notice and then ask for an abatement of the penalty based on reasonable cause. The cause being that the employer did not withhold federal tax and that upon this realization you make an estimated tax penalty.
Assuming that your income for this year is the same or more than it was for 2005 your estimated tax payment should be an amount equal to your 2005 tax liability. If your AGI is above $150,000 then the estimated payment should be 110% of your 2005 tax liability. Your tax liability for 2005 is the total tax before withholding and other payments. Good Luck!

Answer 3

Talk to them and ask why. Possibly they entered your W-4 info into their system incorrectly, showing you as exempt. Or if you're working as an independent contractor (on a 1099) then you should have been making quarterly payments to the IRS for your taxes.

In any case, I'd suggest figuring out what you're likely to owe, and making an estimated payment by January 15. This might help you avoid penalties and interest when you file your return if you owe a lot.

If this has been going on all year or for a long time, didn't you notice that your paycheck was higher than expected?

Answer 4

Contact your Human resources department immediately to complete W4 and state withholding forms.

Generally, in situations such as this, the employer is not considering you to be an employee. Rather, you are being treated as an independent contractor (self-employed person). If you cannot resolve this matter with your employer, and if you feel that an employer-employee relationship exists, you should submit a Form SS-8 (PDF), Determination of Employee Work Status for Purposes of Federal Employment Taxes and Income Tax Withholding. The factors used to determine if an employer-employee relationship exists are covered in Chapter 2 of Publication 15-A (PDF), Employer's Supplemental Tax Guide.

If your status as an employee is not at issue, it may be that you are in a category of employment whose earnings are not defined as wages under U.S. federal tax and social security law. Find out from your employer the reason that social security and Medicare taxes and income taxes are not being withheld from your pay. If you have further questions, contact the IRS at 800-829-1040 or visit an IRS walk-in office for assistance.


References:

Form SS-8 (PDF), Determination of Employee Work Status for Purposes of Federal Employment Taxes and Income Tax Withholding
Publication 15-A (PDF), Employer's Supplemental Tax Guide
Publication 1779 (PDF), Independent Contractor or Employee

Answer 5

It's not the end of the world, though it's illegal for employer not to take income tax unless you earned really not a lot of money say $10K for the entire year, or you self-employed and they surprised you with form 1099 in january then it's going to be a real pain. Anyway, you gotta come up with money at the time you file and prepare for possible penalty for underpayment on the top of the taxes

Answer 6

You have two options. You can send in a check to the IRS for the amount (be sure to include the apppropriate form that you can download from their site) or you can just wait and end up paying it when you prepare your tax return. One way or the other, they will get their money. It's up to you whether you want to give it to them now or later (you get some interest on your money this way).

Answer 7

Ask them to correct the mistake. If it has been like that for the entire year even if you gave them W-4, the company could get into trouble and you could face some penalty (may not if you didn't make that much).

Answer 8

Go to HR and fix the problem. They'll probably end up deducting it from one of your future paychecks to even things out. Otherwise, You'll end up paying an assload during tax season!

Answer 9

while you're single, any income (alongside with advice) over $116 according to wk. could have federal withholding taken out. while you're married, any income (alongside with advice) over $264 could have federal withholding taken out. in accordance on your ideas, the least you're making according to wk is $163.seventy 5 and the main you're making is $235.00. So while you're married, there may well be no federal withholding taken out. while you're single, there could be some withholding (a minimum of a few money) taken out. So while you're single and you're particular there is not any withholding, you're able to desire to analyze with administration to work out why none is being taken out. the blunders might desire to be on there section or it would desire to be on yours. case in point, you have gotten by twist of destiny filled out your w-4 for exempt status, wherein case there may well be no withholding.

Answer 10

Are you talking about for this whole year, or just a recent job? It may bite you in the "butt", but I'd check into it - because your going to have to pay them one way or another - now or later. Whom in the world is doing your payroll?