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  • PRACTICE AREAS
    • ESTATE PLANNING
    • ESTATE & TRUST ADMINISTRATION, PROBATE
    • LONG-TERM CARE & MEDICAID PLANNING
    • ASSET PROTECTION & WEALTH PRESERVATION
    • SPECIAL NEEDS PLANNING
    • HIGH & ULTRA HIGH NET WORTH ESTATE & TAX PLANNING
    • PET TRUST
    • CHARITABLE GIVING
    • BUSINESS SUCCESSION
    • TAX RESOLUTION & CONTROVERSY
    • GUN TRUST
  • ABOUT US
    • LETHA SGRITTA-MCDOWELL, CELA, CAP
    • GILBERT L. CAREY, JR., JD, CPA
  • KNOWLEDGE + RESOURCES
    • FAQ’s
    • BLOG
  • CONTACT
    • LOCATIONS
  • MAKE A PAYMENT
The Trust Fund Recovery Penalty: When Your Business’s Payroll Taxes Become Your Personal Debt

The Trust Fund Recovery Penalty: When Your Business’s Payroll Taxes Become Your Personal Debt

by Letha | Sep 29, 2026 | IRS Compliance, tax resolution

What Is the Trust Fund Recovery Penalty (TFRP)? When a business runs payroll, it withholds federal income tax and the employee’s share of Social Security and Medicare taxes from each paycheck. The employer holds those amounts in trust until it pays them to the...

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