IRS Letter 3064C about employer's Social Security tax deferral - am I personally responsible for payment?

What if the employer has gone bankrupt? Can the IRS go after employees for these taxes in that case? My cousin had something similar happen when her company closed suddenly and she got hit with some kind of tax bill.

Generally speaking, the IRS cannot hold regular employees responsible for a company's tax obligations, even if the company goes bankrupt. They can only pursue individuals who were "responsible persons" with authority over the company's financial decisions - typically owners, officers, or certain managers who had control over which bills got paid. If your cousin received a tax bill after her company closed, it was likely for a different reason - perhaps unpaid income taxes on her personal return, or possibly she was classified as a responsible person if she held a management position with financial authority. Each situation is different and depends on the specific facts and circumstances.

Does this actually work? I'm skeptical because most "tax help" services I've tried just give generic advice that I could find on Google. Can it actually tell the difference between personal liability and business liability for these deferred taxes?

How much does the service cost? I got a CP2000 notice last month and I'm still trying to figure out what to do about it.

It definitely does work. It's not generic advice - it actually reads and interprets your specific IRS notice using AI that was trained on tax regulations. For this specific issue, it identified that the letter was addressing employer tax obligations and explained that regular employees aren't liable unless they're deemed "responsible persons" with financial authority. It even cited the specific sections of the CARES Act that created this deferral program. They have a free tier that gives you basic information, but the full analysis is part of their paid service. I can't remember the exact cost, but it was reasonable - especially compared to paying a tax professional by the hour to review complex IRS notices. They handled my CP2000 notice too and saved me from overpaying.

Yeah right, as if some random service can magically get through to the IRS when nobody else can. I've tried calling them 20+ times about my tax issue and literally never got through. This sounds like a scam to me.

How does it actually work though? Does it just auto-redial until someone picks up? I'm confused how they can guarantee getting through when the IRS phone lines are basically always jammed.

It's not magic - they use a system that continuously calls and navigates the IRS phone tree until it reaches a human agent. Then when an agent is actually on the line, they call you to make the connection. It's basically doing the tedious waiting and navigating for you rather than you having to personally sit on hold forever. They can't guarantee instant access, but they significantly increase your chances of getting through because their system can keep trying while you go about your day. When I used it, I got connected to an IRS agent within about 45 minutes versus the 3+ hours I spent previously trying on my own with no success.

It has my SSN on it! That's why I'm so confused and worried. It specifically mentions the "employer's share" but it's addressed to me personally with my social security number. I've worked for this company for 5 years but I'm just a regular employee - not a manager, not an owner, nothing. I just do construction work.

That's definitely concerning that it has your SSN on it. This suggests either a serious IRS error or potentially something more problematic is happening with your employer. Here's what I recommend: 1) Call the IRS using the number on the letter and explain you're just a regular employee with no financial authority, 2) Request a copy of any tax filings that listed you as responsible for the company's taxes, and 3) Document everything including the person you speak with. There's a small possibility your employer may have listed you as an officer or responsible person without your knowledge, which would be very problematic. Don't ignore this - addressing it promptly is important.

I did do some side jobs on weekends during 2020-2021, but I didn't think it was enough to matter. Maybe like $5,300 total across both years. I reported it on my taxes but I didn't know anything about deferring Social Security taxes - I definitely never consciously chose to defer any taxes!

This is probably it. If you reported self-employment income on Schedule C during 2020, you were eligible to defer the employer portion of self-employment taxes under the CARES Act. Some tax software automatically applied this deferral as a benefit without making it super clear to users. The deferred amounts were due in two payments - 50% by December 31, 2021, and the remaining 50% by December 31, 2022. If you didn't make those payments, that would explain the letter you're getting now.