{"ok":true,"canonical_url":"https://dealroom.so/glossary/payroll-taxes","api_url":"https://dealroom.so/api/public/glossary/payroll-taxes","data_freshness":{"sba_records_through":"2026-05-31","fdic_records_through":"2026-03-31","dealroom_last_updated":"2026-06-15","timezone":"America/Chicago"},"source_summary":["Public SBA 7(a) loan records","FDIC institution data","DealRoom lender and franchise enrichment"],"term":{"slug":"payroll-taxes","term":"Payroll Taxes","group":"Reading the business","definition":"These are taxes withheld from employee wages and employer contributions, covering Social Security, Medicare, and unemployment. Delinquent payroll taxes are a major red flag for lenders.","what_it_means":"During due diligence, always verify the seller's payroll tax compliance. Unpaid payroll taxes create a direct liability for your acquired business and are a severe issue for SBA lenders. Request IRS transcripts (Form 941s) and ensure all payments are current.","url":"https://dealroom.so/glossary/payroll-taxes","official_sources":[],"related":[{"slug":"irs-transcripts","term":"IRS transcripts (4506-T)","url":"https://dealroom.so/glossary/irs-transcripts"},{"slug":"due-diligence","term":"Due diligence","url":"https://dealroom.so/glossary/due-diligence"},{"slug":"liability","term":"Liability","url":"https://dealroom.so/glossary/liability"},{"slug":"tax-return","term":"Tax return","url":"https://dealroom.so/glossary/tax-return"}],"related_questions":[{"question":"What if the business I am buying has unfiled tax returns or overdue payroll taxes?","url":"https://dealroom.so/sba-7a/questions/what-if-the-business-i-am-buying-has-unfiled-tax-returns-or-overdue-payroll-taxes"},{"question":"What if the business I'm buying has unfiled tax returns or overdue payroll taxes?","url":"https://dealroom.so/sba-7a/questions/what-if-the-business-i-m-buying-has-unfiled-tax-returns-or-overdue-payroll-taxes"},{"question":"If the acquired business has a history of unfiled or overdue payroll taxes, will this automatically disqualify my SBA 7(a) loan application?","url":"https://dealroom.so/sba-7a/questions/if-the-acquired-business-has-a-history-of-unfiled-or-overdue-payroll-taxes-will-this-autom"},{"question":"Do unfiled tax returns or overdue taxes prevent SBA approval?","url":"https://dealroom.so/sba-7a/questions/do-unfiled-tax-returns-or-overdue-taxes-prevent-sba-approval"},{"question":"Can I use an SBA 7(a) loan for inventory, payroll, or rent?","url":"https://dealroom.so/sba-loans/basics/can-i-use-an-sba-7-a-loan-for-inventory-payroll-or-rent"},{"question":"Can an SBA 7(a) loan be used for business working capital, like payroll?","url":"https://dealroom.so/sba-loans/basics/can-an-sba-7-a-loan-be-used-for-business-working-capital-like-payroll"}]},"caveats":["Definitions represent DealRoom's plain-English interpretation for buyers; verify regulatory terms against the official SBA and eCFR sources listed.","Not legal, tax, or financial advice, and not an SBA eligibility determination."],"citation":{"label":"DealRoom.so Glossary — Payroll Taxes","url":"https://dealroom.so/glossary/payroll-taxes","source_type":"DealRoom Data"}}