IRS and bankruptcy

[Kevin Donahue]

What is the name of your state? Florida
.
I'm the president of a C corp that has just gone under. The IRS sent us a notice that we owe 15K plus in penalties and interest and have put a lien on our business. Since we are going to be forced into bankruptcy will the IRS go after me personally for the interest and penalties that the corporation owes?

 

[tranquility]

It depends on the type of taxes and your responsibility for not paying them.

 

[Some Random Guy]

Always always always pay payroll taxes on time. The IRS loves making an example out of people who fail to do so.

 

[LdiJ]

What is the name of your state? Florida
.
I'm the president of a C corp that has just gone under. The IRS sent us a notice that we owe 15K plus in penalties and interest and have put a lien on our business. Since we are going to be forced into bankruptcy will the IRS go after me personally for the interest and penalties that the corporation owes?

Is it interest and penalties on corporate income tax, or interest and penalties on trust fund taxes (withholding, FUTA etc.)?

If its trust fund taxes, then I can pretty much guarantee that the IRS will go after you personally, if you are the one who signs the company checks. If someone else, such as a chief financial officer is the one who signs the checks, they will go after him/her. Basically they will go after whoever had control of the company funds and chose to pay other things ahead of the IRS.

If its interest and penalties on income taxes, then it might be different.