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Payroll-tax penalties can take a toll on small firms
Small businesses, which may have a hard time keeping up with payroll-tax responsibilities, can be especially vulnerable to Internal Revenue Service penalties. "There are so many little rules for a small-business owner to stay on top of," accountant David McKelvey says. Many small businesses attempt to handle payroll taxes on their own, but it may be wise to consider working with a payroll firm.

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