If the leasing company goes “belly up,” who is responsible for unpaid payroll taxes and benefits?
A. This would depend on the verbiage of the contract. Check it carefully to see who is responsible for what. Even though the contract assigns payment responsibility to the leasing company, the government may still pursue the hiring employer if there are unpaid payroll taxes. It is useful to check several references and the Better Business Bureau to see if the leasing company has had any trouble in this area.