Quarterly report pursuant to Section 13 or 15(d)

ACCOUNTS PAYABLE AND ACCRUED EXPENSES

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ACCOUNTS PAYABLE AND ACCRUED EXPENSES
 6 Months Ended
Jun. 30, 2021
Payables and Accruals [Abstract]  
ACCOUNTS PAYABLE AND ACCRUED EXPENSES

7. ACCOUNTS PAYABLE AND ACCRUED EXPENSES

 

Accounts payable and accrued expenses are summarized as follows:

 

    June 30, 2021     December 31, 2020  
Accounts payable   $ 3,232,188     $ 3,752,036  
Accrued expenses     1,982,431       1,436,679  
Accrued taxes (VAT, Sales, Payroll, etc.)     2,810,872       3,356,496  
Accrued interest     142,753       122,057  
Accounts payable and accrued expenses, total   $ 8,168,244     $ 8,667,268  

 

As of June 30, 2021 and December 31, 2020, approximately $2.5 million and $3.0 million, respectively, of employee and employer payroll taxes and associated interest and penalties have been accrued but not remitted to certain taxing authorities by the Company. These accruals are for periods prior to 2019 for cash compensation paid and are reflected as a component of the accrued taxes line above. As a result, the Company is liable for such payroll taxes and any related penalties and interest. Tax authorities have placed liens on certain of the Company’s cash accounts, which accounts had a total balance of $36,905 at June 30, 2021.

 

 

Amergent Hospitality Group, Inc and Subsidiaries

Notes to the Condensed Consolidated and Combined Financial Statements