Employer Unaware of 83(b) Election

[Guest enelson]

Has anyone had any experience with an employee failing to notify the employer that he had filed an 83(B) election and the consequences of such failure for the employer and the employee? In our situation, the employer was not notified that an employee had filed an 83(B) election; therefore, the employer failed to report W2 taxable income for the employee, and the employee failed to pay taxes for such income. How does the employer correct this mistake? What are the tax consequences for the employer and the employee in this situation? Thanks.