I have done a little research.. I am an LLC with an "S" corp filing status.
I use QB to keep me straight on my taxes. It is easier for me than to have to evaluate quarterly my profits and make random payments to the IRS. QB tells me how much to pay the IRS every X number of weeks for "payroll taxes" and I pay them.
Now then, for some pay periods this year (beginning of this year), I did not pay myself several times (think of it like this: I laid my worker off for a few pay periods but he still worked and then hired him back.). Due to the fact that I did not "pay myself", I also did not have to pay any "payroll taxes" for myself. This includes my company's part of the "payroll taxes", that it would have paid had I received my normal paychecks. My other employee did receive her paycheck and my company had to pay its "payroll taxes" for that employee. All paid up..
Fast forward to now: Some payments for some work I did later this year came in this month. As it turns out, it is enough to cover the pay that I missed earlier this year. I am faced with a few options (as I see it, this is why I am here asking this and wasting y'all's time 🙂 :(
1. Pay myself the "back pay" that I am owed. I will do this via QB. QB will (hopefully) calculate properly the amount of "payroll taxes" that must be paid and then I will pay them.
or
2. Pay myself a "bonus" to equal the amount of "back pay" that I am owed. I will do this via QB. QB will calculate how much tax must be paid and then I will pay them.
or
3. Don't pay myself the "back pay" that I am owed. This option will basically take a huge "cost"(part of my salary) out of the company's books. Of course this will make the company look like it was very profitable and I will have to pay the taxes on that profit.
My questions:
Which option is going allow me to pay less taxes overall?
IF I go with option 1: Is the IRS going to penalize me for making a large payment at the end of the year? (they like to get their money on the regular, you know)
Is it even realistic to be asking such a question? I mean, would one need to basically do all of my taxes, fill out all of the forms, perform the 3 different "options" before one could provide such an answer?
