Do you own a company that does its business in Texas? Even if your headquarters are in some other state, if you employ people who live and work in Texas, you will need to handle the Texas payroll taxes. Most people don’t realize that the state taxes that you withhold from your employees depend on where your employees are from. Each state has different rules about how much should be taken out and what factors affect this. For people who live in Texas, there are different rules that apply there. In order to do everything right, you’ll need to take these Texas payroll taxes into consideration.
If you don’t handle the taxes of the state right, then you and your corporation could get in a lot of trouble. The Internal Revenue Service, or the IRS for short, is very serious about this issue. You certainly can’t avoid paying the Texas payroll taxes. You also need to be very sure that you are paying the right amount. You can get in trouble even for making a small mistake. Some companies end up going bankrupt from all of the fees that they incurred from making a costly tax mistake.