Form 4180 is an interview questionnaire filled out in case the Trust Fund Recovery Penalty is be applied. The form shouldn’t be completed just before the interview to ensure more candid answers. However, it serves as a roadmap for the interview. When it is over, the interviewee is asked to review the template and sign it.
The Trust Fund Recovery Penalty is a serious punishment, which makes the interviewee responsible for the belongings of the company’s staff. Unfortunately, the penalty is not avoidable with bankruptcy.
Who Does Form 4180 Concern?
The blank relates to any person in an organization responsible for the Trust Fund on one hand and to the IRS Revenue Officer that runs audit on the other hand. The main goal of the sample is to establish a person in charge of the finance and payroll hiccups.
In order to determine such people, the officer will ask the following questions:
- Are you in charge of the financial policy at the company?
- Do you approve payments and billing?
- Do you make and approve payroll payments?
- Were you aware of unpaid taxes?
- Do you authorize payroll returns?