Every employer required to deduct and withhold tax is liable for such tax. For purposes of assessment and collection, any amount required to be withheld and paid over to the Division of Revenue, any additions of tax, penalties and interest with respect thereto, shall be considered the tax of the employer. Any amount of tax actually deducted and withheld shall be held in trust for the Division of Revenue. No employee shall have any right of action against his employer in respect to any money deducted and withheld from his wages and paid over to the Division of Revenue in compliance with the laws and regulations.

Any employer who fails or refuses to make a return or statement or to timely remit withheld taxes will be assessed penalties and interest as provided by law.

Whenever any employer fails to collect, truthfully account for, pay over the tax, or make returns of the tax required, the Division of Revenue may serve a notice requiring that the taxes which become collectible after service of such notice, to be deposited in a bank approved by the Director of Revenue, in a separate account, in trust for and payable to the Department of Finance, and to keep the amount of such tax in such account until paid over to the Department of Finance. Such notice shall remain in effect until a notice of cancellation is served by the Director of Revenue.

Definition of Employees