The IRS. Those thieving bastards that they are. From KnowTheLies.com we read:
"The IRS threatens employers with huge fines if they don't withhold payroll taxes. Funny thing though, according to a September 15, 2003 letter from GAO (General Accounting Office) to Congressman Elton Gallegly regarding W-4’s and reporting, this little nugget of truth stands out:
"Under current law, IRS does not have statutory authority to impose a penalty to enforce employer compliance with the reporting requirement. The reporting requirement was promulgated in Treasury regulations."
The income tax "law" states 26 CFR §31.3402(p)-1(a) "An employee who desires to enter into an agreement for withholding...shall furnish his employer with Form W-4 (or its equivalent) for withholding. The furnishing of such Form W-4 shall constitute a request for withholding." Then, 31 CFR §215.2(n)(1) clearly tells the employers they cannot take amounts from the workers' pay for any form of State tax UNLESS the employee VOLUNTARILY elects to have such sums withheld.
I suggest you read the entire article.
Thursday, September 11, 2008
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