I have not paid or contribute to my nanny taxes for the past two years, can she still sue me for the tax contribution that I have failed to make for the past two years. (2011 and 2012)
I would really appreciate any advice, since she has already paid the taxes in full but is asking for reimbursement. Can the IRS, get involve and have me to repay the unpaid taxes? Thanks |
Absolutely. The nanny wouldn't be "suing" you but rather the IRS for tax invasion and will get you with a ton of late fees. You could also be responsible for part of her share and depending on where you/who you work for, it can cause issues with your employment. |
I guess it depends on which taxes you are talking about. you are not responsible for federal and state income tax since that is her responsibility. But you are responsible for your share of FICA and if you failed to collect hers then for hers as well. and, yes, IRS can go after you for this and hit you with all sorts of fees |
Not clear on exactly which taxes you're describing, but if you haven't paid taxes for two years you are in trouble.
You should talk to your tax preparer or a knowledgeable tax attorney to figure out what to do. The threat is larger from the IRS than from the nanny. Either way you're in jeopardy. |
You do not owe your nanny any tax contributions. Paying income taxes is her responsibility. However, you owe to the IRS your portion of FICA and SS taxes, as well as withholding hers. Your nanny cannot sue you for taxes but she can report you for failure to pay to the IRS. |
Yes, the IRS can get involved and come after you for your share of the employment taxes (FICA and SS). |
It also depends on what the nanny did. If she filed as a W-2 employee with missing W-2, the IRS will come after you. You don't owe the nanny anything in this case, as she actually came out ahead! (You are responsible for paying the FICA tax you did not withhold and cannot retroactively withhold)
I have no idea how it works if she actually filed as a 1099 employee and is now coming after you for the difference in taxes. In this case, the IRS won't get involved as you don't owe them anything, the nanny ended up paying the portion of tax that you should have. |
A nanny is always an employee/W2. Always. |
There's no such law. If you meant to say "usually", that would be correct. |
The IRS states that a nanny is ALWAYS an employee and ALWAYS gets a W2.
Is it a law? IDK, but it's the legal way to pay a household employee. |
What if op withheld taxes from the nannies paucheck but did not pay them to the IRS, I still think that is an IRS issue. |
PP here. Of course. However we don't know if she incorrectly filed as a contractor. |
I think certain sleep nannies and newborn nannies are not W2s. |
Plus, IRS will tack on intetest and penalties. Your stupidity hss screwed you. |
True? |