ITG FAQ #9 Answer-What is the trust fund recovery penalty?
If income, social security, and Medicare taxes that must be withheld are not withheld or are not deposited or paid to the United States Treasury, the trust fund recovery penalty may apply. The penalty is the full amount of the unpaid trust fund tax. This penalty may apply to you if these unpaid taxes cannot be immediately collected from the employer or business.
The trust fund recovery penalty may be imposed on all persons who are determined by the IRS to be responsible for collecting, accounting for, and paying over these taxes and who acted willfully in not doing so.
NOTE: Further information regarding depositing of withheld amounts can be found in Publication 15, Circular E, Employer's Tax Guide, Section 11.