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    pravw's Avatar
    pravw Posts: 2, Reputation: 1
    New Member
    		  
    #1

    May 6, 2012, 08:03 PM
    FICA taxes not withheld. Will changing jobs be a problem?
    Hello, I recently realized that my company did not withhold my FICA taxes for the past 4 years. We are yet to have an agreement on how we will handle the reimbursement. I am hoping for them to come up with a reasonable plan that won't be as burdensome on me.

    While I do want to get this tax situation taken care off, I have a few other job opportunities too that would pay me much more. However, I haven't decided if I would take any of those up yet. Would it be a problem if I quit my current job to take a new job?

    Is there anything I should be careful about when I have negotiations about this tax issue with my company?
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
    Senior Tax Expert
    		  
    #2

    May 7, 2012, 06:58 AM
    You have the moral and ethical requirement to pay these back taxes. However, the LEGAL requirement for your to pay any of these taxes from 2011 and earlier expires on 31 January 2012.

    You need to consult with a tax attorney to be sure, but, In my opinion, you could quit your current job and legally walk away from this requirement to pay these taxes back. The taxes would be paid, but your employer would be obligated to pay them, NOT you.
    pravw's Avatar
    pravw Posts: 2, Reputation: 1
    New Member
    		  
    #3

    May 7, 2012, 09:30 PM
    Thanks for the response. It's good to have a confirmation that I am not legally responsible. It will help me when I will be negotiating with my employer.

    Also, can the adjustments made for the reimbursement be considered for tax deductions for the next year?
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
    Senior Tax Expert
    		  
    #4

    May 8, 2012, 07:17 AM
    No; payment of FICA taxes is NOT tax deductible.
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