Helping Businesses with Employment Tax Challenges
If your business is audited by the Internal Revenue Service (IRS) or a state tax authority such as the FTB, CDTFA, BOE, or EDD, or is subject to an investigation by the TRaCE Task Force, the sooner you contact an attorney, the better prepared you will be to deal with the issue.
At the Law Office of Williams & Associates, P.C., our practice focuses on a broad range of tax law issues concerning income tax, employment tax, sales and use tax, and other business taxes. From our office in Sacramento, our attorneys represent businesses and business officers from California, throughout the United States and abroad.
State and Federal Employment Tax Issues We Handle
The following are examples of the business tax issues we handle:
- Payroll tax: An unexpected tax obligation can threaten the survival of a business no matter what the overall economic client may be. Our lawyers will develop strategies and defenses to resolve the issue and help keep your company open for business.
- Trust fund recovery penalty: The IRS has the power to convert unpaid trust fund taxes of a business into a personal obligation by anyone deemed to be a responsible officer. A lender can also be subject to this penalty if it controls a company’s credit line and influences disbursements. Our lawyers defend potential responsible officers from this penalty.
- Independent contractor versus employee issues: Many employers are unaware of the rules when it comes to determining whether a worker should be classified as an independent contractor versus an employee. In states such as California, the rules are strict and the facts of each case are crucial for a correct determination. The IRS currently has a voluntary compliance program that can help businesses limit penalties and comply with federal laws. We also work with large and small California employers to ensure their practices are within state compliance, perform risk assessments and design worker agreements relevant to their business needs.
- Assembly Bill AB 5: This law created the new California worker classification test, the ABC test, which states that a worker shall be considered an employee rather than an independent contractor, unless certain conditions are met. ABC Test will be applied retroactively to overtime, minimum wage, and related actions. Our lawyers draft AB 5-compliant independent contractor agreements for various industries and professions.
Our attorneys also represent clients before the California Unemployment Insurance Appeals Board (CUIAB). The CUIAB is an independent administrative court system for workers and employers seeking to challenge decisions made by the Employment Development Department (EDD).
The CUIAB system of adjudication is separated into two forums, one for employment tax petitions and the other for Unemployment Insurance Benefits Appeals. The first level of appeal is a written and oral argument before an administrative law judge (ALJ). The second level of appeal is before the CUIAB, following a decision by an ALJ.
According to the CUIAB, “The appeals process can be a very daunting experience for individuals without a law degree. All of the legal references to codes, regulations and procedures tend to be overwhelming.” Our goal is to help businesses during the appeals process so that it is not overwhelming. Our firm successfully represents clients before the CUIAB on a regular basis to efficiently resolve hearings and appeals.
Our team of attorneys has a successful record of appeals before the CUIAB, as well as in our representation of clients before the IRS, the California Franchise Tax Board (FTB), the California Department of Tax and Fee Administration (CDTFA), the California Board of Equalization (BOE), and the Employment Development Department (EDD).
Do Not Let Employment Tax Issues Threaten Your Future
The Law Office of Williams & Associates, P.C., offers reliable counsel on business tax issues. Call our Sacramento office at (916) 488-8501 or toll-free at (800) 684-7147, or email us to set up an appointment.