If at the end of it all, you end up paying the proper amount of taxes, whether it was withheld weekly or paid it at the end of the year, there is no basis for recovering compensation for taxes: if you paid the correct amount, regardless of timing, there is no harm, and without harm, there is no compensation.If you end up out of pocket any money, however, such as due to interest or penalties for not paying taxes in a timely fashion, you could sue the at-fault entity--presumably, the old payroll company, if it was there error--for the amount of money you lost due to their error.Again, though, you can only sue for an actual loss, not merely because something was done wrong. If it all balanced out and you end up being paid what you should and paying the taxes you should, there are no grounds for a lawsuit.