According to Law360, the former chief administrator of a Houston hospital is on the hook for penalties asserted by the IRS to recover the cash-strapped hospital's unpaid employment taxes even though she was prioritizing patient care, the U.S. Tax Court said on October 27, 2021 in Cashaw v. Commissioner, docket number 9352-16L, in the U.S. Tax Court.
Pamela Cashaw owes nearly $26,000 in trust fund recovery penalties to the Internal Revenue Service for periods beginning in 2013 in which Riverside General Hospital did not remit employment taxes after severe financial setbacks, the court found in a memorandum opinion.
Although Cashaw argued she had a responsibility to direct funds to ensure patients were cared for, she still failed to collect and remit the required funds, the court said.
Read more at: Tax Times blog