I started a new job on April 15, 2009. I completed my w-4 correctly, however due to a computer glich (my employer says) they did not withhold any State or Federal taxes. I did not notice until I received my w-2 and it had on there exmp for Federal and State taxs withheld. Looking a my pay stub, I can see where taxes and deductions were and there is a list from Social sercuity to 401 not noticing no fed or State withholdings. Now, I have to pay a large amount of money in taxes. What responsibility does my employer have. I have brought this to their attention and they still are not withholding taxes. I am
Not excempt for any withholdings.

File tax return based on your W-2. If you owe tax, you will pay it. Your employer will not pay it. When you were getting your pay checks, you should have contacted your employer.

File a new W-4.

I have already filed and paid my taxes. I have already talked to my employer. They still have not changed anything. I have done my part, they have not theirs. It was their error in the first place, my w-4 was correct. They failed to withhold my taxes and pay them. Still they are failing to do so. What can I do?

Two things:

1. First, when you completed your 2009 tax return did you also pay the social security tax that should have been withheld from your pay? You want to be sure that this gets paid and you get credited properly by the SS Administration for your work credits.

2. Regarding your employer - I don't know what else you personally can do. I suspect that once the IRS sees your W2 with $0 withholding they will be after your employer, and he faces some stiff penalties for improper withholding. You should continue to review your pay stubs, and be aware that you should file an estimated tax payment each quarter as long as your employer fails to correct the situation. You must file the estimated tax payment by April 15, June 15, Sep 15 and next Jan 15 or face the possibility of getting nailed for underpayment of taxes, which will mean extra interest payments to the IRS.

They did pay the social security tax and medicare tax, thank goodness. I am concerned the IRS may audit me for this first. Should I contact them and let thme know. Because I have paid and filed my taxes.

If you paid your taxes, you shouldn't get audited. The main risk to you is getting penalized for underpayment in 2009 - the IRS may hit you up for an interest payment.