USA Employer received Notice CP504b - HELP!

[ConcernedEmployee]

I work for a very small company, and yesterday I accidentally came across 4 IRS Notices cp504b on my bosses desk, for essentially all the payroll taxes he apparently did not pay from 2012, totaling about $25K. The notices were dated May 13th, 2013, and demanding payment by May 23rd.

In addition to the payroll taxes that were never paid, he owes another $23k to the state for unpaid sales tax (just found out about this as well). I know that we don't have the business coming in to cover both of these huge bills, and I'm fairly certain my boss is taking the ostrich approach and sticking his head in the sand hoping it goes away. How long until the IRS sends Notice 1058 and officially levy's all of his property? Does this mean that the company will get shut down?

 

[kirby]

Unfortunately, the company shutting down is the most likely outcome based on the nonpayment and that you state that there is not enough business coming in plus the boss's refusal to take action.

For you, you should immediately seek new employment.

 

[Samir]

Don't panic yet. The IRS does sometimes make massive mistakes, or the companies hired to do these actions do. Interestingly enough, we have one of these also for unpaid payroll taxes in my hands right now for a way back prior tax year for a business we've sold years ago. The payroll processing company is either at fault or we might have paid it and it wasn't credited properly. This second scenario happens A LOT.

Best course of action is to dig into the books and see if the IRS is right or not. Probably more likely that they didn't credit the tax account correctly.