[net.jobs] Covering ones behind when a company

ashby@uiucdcsp.CS.UIUC.EDU (11/18/85)

A similar thing happened to my dad.  I don't recall him having
any trouble with taxes or anything, but he and several other
employees did have to sue for severance pay - and they won.
BTW, I think employees get paid before creditors, but I am 
not sure.

rfw@lan000 (11/23/85)

I don't know about salary due to an employee, but I do have some experience
with (federal) income tax in a similar situation.  When I was in school,
I had a job for a while with a bar which went broke.  They went under
after I left their employ, but before they bothered to give me a W2 form.

By Feb. 1 of the next year I had not received a W2 form, and was unable
to track down either of the owners.  I contacted the IRS to get their
advice on the situation, and it turned out they were overjoyed.  They
apparently LOVE to get after folks who withhold from employees and don't
contribute the money to the IRS.  In return for my telling them the name
of the company and the owners thereof, they sent me a nice little form
that was something like an 'estimated W2' -- just recall as best you
can what you had earned working for the company and assume they withheld
the right amount.  They were totally satisfied with something of the form
"I worked for them for X weeks, and my take-home pay was Y dollars/week."

I wish I knew the final part of the story, that is, what happened to my
old employers.  They were pretty fly-by-night sort of folks (this loomed
large among my reasons for leaving them), and I wouldn't be surprised
to learn they were fined or imprisoned or both.  At any rate, the IRS took
care of getting the money which was withheld from me;  I was not expected
to pay twice because of an employer who withheld from me and didn't pay
the IRS.

					Randy Wright
allegra \				Lantech Systems, Inc.
ihnp4    >!convex!infoswx!lan000!rfw    9635 Wendell Road
uiucdcs /				Dallas, TX  75243
					(214) 340-4932