Responsible person

Who is a responsible person for trust fund tax: A responsible person is one who has the duty to perform and the power to direct the collecting, accounting, and paying of trust fund taxes. Therefore, responsibility involves status, duty, and authority. This person may be: an officer or an employee of a corporation; a member of employee of a partnership; a corporate director or shareholder; a member of a board of trustees of a nonprofit organization; another person with sufficient authority and control over funds to direct their disbursement.

See Also:

• Reasonable Cause;
• Proof of Willfulness;
• Tax Penalties;