I have a friend who is in need of some answers regarding withholding taxes. My friends employer withheld tax money, but at end of year the employer gave employee a 1099 form showing NO taxes withheld. She has all of her check statements showing the amount of taxes withheld. At the end of last year, she ended up having to repay everything. Who does she need to contact at the IRS and State of Maryland regarding this issue. She is out thousands of dollars from this employer and doesn't know where to turn. She is not a computer person and asked me to try and find out who she needed to contact. She ended up changing careers because of this employer and his tactics.

Thx for your assistance.
GullionC

It sounds to me like he was giving her false tax withholding statements and pocketing the money while he actually had her on a 1099.

She needs to contact the IRS fraud investigations.

This should be what she needs

http://www.taxfraudonline.com/the-claims-procedure

https://www.socialsecurity.gov/oig/p...rting/form.htm

I suggest your friend start with the IRS. She should show them copies of all of her pay stubs indicating where taxes were withheld and how that conflicts with the 1099 she was issued. Also check the pay stubs carefully so you can be sure exactly what was withheld for what purpose ; make sure the withholding includes Federal Taxes, Medicare and Social Security. Some employers, depending on state and local laws, may only withhold state and local taxes but not federal taxes.

Yes, and she should have used the figures from her check stubs for her filing, and reported a false 1099 when it was received