This page provides a clear, factual overview of what a IRS Letter 903 – Noncompliance with Deposit Requirements involves, why organizations receive it, how risk is evaluated, and the typical steps required to resolve it. These insights are based on patterns seen across Small and mid-sized businesses, startups, tech companies, and professional services that rely heavily on contractors. and common issues identified in audits.
IRS Letter 903 – Noncompliance with Deposit Requirements relates to an audit, examination, or enforcement action focused on how the business classifies, pays, and reports its workers. It is typically issued when Workers treated as contractors or off-payroll employees triggered questions about whether employment taxes should have been withheld.
Letters like the IRS Letter 903 – Noncompliance with Deposit Requirements often occur when organizations experience gaps in documentation, worker classification, onboarding processes, or payroll reporting. These issues become more common as companies scale, work with more contractors, or manage projects across multiple states and agencies.
TCWGlobal helps by supporting compliant payrolling for workers you already sourced, centralizing documentation, maintaining accurate worker records, and ensuring onboarding and reporting remain consistent across all projects and departments.
For industries like Small and mid-sized businesses, startups, tech companies, and professional services that rely heavily on contractors., where audits related to Employment tax deposit and trust fund enforcement commonly appear, our team reduces risk by helping clients maintain clean worker files, correct classification, and auditable payroll data.
When issues arise, TCWGlobal supports you in preparing required documentation, correcting records, and implementing processes that help prevent future Internal Revenue Service assessments or penalties.