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jps

On Fri, 06 Nov 2009 01:16:51 -0500, wrote:

On Thu, 05 Nov 2009 18:38:16 -0800, jps wrote:

Payroll taxes are *paid* by the employer, not the employee. They are
not withheld. In the case of illegal aliens, the employer pockets that
money, too.

Bad assumption. If they're reporting a SS#, it'd be very difficult to
not pay the FICA and Medicare taxes along with any withholding.

If they're paying cash, that's another matter.

If they're running it through their bank, the Feds know exactly what's
happening with each employee and take a very dim view on unpaid
payroll taxes.

Very quick route to jail.

One of my friends used to own a landscape business. He had lots of
latinos working for him with questionable papers. He filed all the
FICA forms and paid the taxes to avoid that "jail" thing.
Every year the IRS would send him a form letter with the names and
SS#s of the questionable employees but there was no action required.
it was just an FYI thing to be sure it wasn't simply a typo.
It said right on the form in a "black box" bold type
"Do not use this report as a reason to terminate the employee".
They knew that was tax money they were collecting and they would never
have to pay out.
I suppose there is a homeless guy living in a dumpster somewhere who
reported a million dollars in 100 jobs across a dozen states.

Well, let's hope it's not a dumpster and it's not likely to be a
million dollars but, otherwise, exactly.

The poor schmucks that are paying into our system that'll never
collect may the social security's saving grace.