There was some unpaid 941 taxes when we split. The IRS went after him because of his assets to obtain the money. I have done everything in my power to get them to leave him alone. they have now got their money from him and he is sueing me.
2007-06-21 08:35:08 · 7 answers · asked by STEVE H 1 in Business & Finance ➔ Taxes ➔ United States
unfortunately, sure your ex-partner can sue you, you both had a liability to pay the 941 taxes, but all he should be able to collect from you would be the % of the 941 taxes that you were responsible for. If you both were 50% owners then you would have had 50% of the 941 payroll tax responsibility. If it was 75% him and 25% you, then your responsibility would have been 25%.
2007-06-21 09:54:14 · answer #1 · answered by Anonymous · 0⤊ 1⤋
As you are both liable, he most certainly can! The ONLY thing you could have done to get the IRS to leave him alone was PAY THE TAXES!
Contrary to the acvice from the poser below, ALL partners are liable for ALL taxes, regardless of their responsibilities within the partnership. Additionally, any employees who are responsible for computing and/or paying taxes can also be held personally liable for unpaid taxes of the business.
The IRS is particularly vigorous about collecting payroll taxes since the money never belonged to the business in the first place but is public trust funds.
2007-06-21 08:45:06 · answer #2 · answered by Bostonian In MO 7 · 1⤊ 1⤋
If a business does not submit payroll taxes to IRS, the IRS can hold anyone that they feel may be responsible for failure to pay the tax personally liable.
Apparently the IRS determined that your ex-partner was responsible for this function. I don't think there's anything stopping your ex-partner from suing you. I'm not a lawyer, but I would think that if the duties of you and your ex-partner were clearly defined, you may be in the clear, especially since the IRS determined who they thought was responsible. However, pleading ignorance doesn't always work either.
Good luck.
2007-06-21 08:49:59 · answer #3 · answered by Michael M 1 · 0⤊ 1⤋
The government is going to go after whoever has the deeper pockets. They want thier money, period. But if you were a partner in a business and the taxes were assesed for something like that, I would say he has a legal right to get his money back. If it is more of a personal nature then it will depend on the laws, possibly in your state.
2007-06-21 08:44:37 · answer #4 · answered by gymfreak 5 · 1⤊ 0⤋
The IRS didn't determine that he was responsible, they apparently just found it easier to get their money from him than from you. That doesn't mean that you don't owe your share of it to HIM, just that nobody owes the IRS any more.
I'm real curious about your statement of doing everything in your power to get them to leave him alone. What would that be? Unless of course you offered to pay, and it doesn't sound like that was the case.
2007-06-21 10:29:16 · answer #5 · answered by Judy 7 · 1⤊ 0⤋
Tax Chopper's answer is very, very incorrect and could situation you to some extreme effects and activity. Joint legal accountability potential that the two considered one of you're one hundred% in charge for finished volume. IRS does no longer care who pays and could no longer decrease themselves to basically 50% from you. in fact IRS isn't sure with the help of divorce decree the two - that basically facilitates the paying celebration to sue the non-paying celebration in state courtroom to recuperate the taxes.
2016-10-18 06:52:27 · answer #6 · answered by bizier 3 · 0⤊ 0⤋
i think so
2007-06-21 08:42:19 · answer #7 · answered by BOOTZ 4 · 0⤊ 0⤋