PDF document

- 1 -

Of fice of the Ta xpayer 
Rights Advocate
The EDD’s Tax Branch has established the Office of                         As a California Employer, 
the Taxpayer Rights Advocate. The Taxpayer Rights 
Advocate is responsible for providing a clear and 
consistent focus on protecting the rights of the            Bill of Rights You Have a Right to:
taxpayer.

Incorporated within the Office of the Taxpayer              ’              Cour teous and Timely Ser vice
Rights Advocate is the Taxpayer Advocate Office,                           You are always entitled to courteous and timely service from Employment Development Department (EDD) 
which is responsible for protecting the rights                             employees. If you believe you have been treated inappropriately, you should contact the employee’s supervisor.
of taxpayers during all phases of the payroll 
tax administration, assessment, and collection 
process, while also protecting the interests of the                        Confidentialit y
state.                                                                     Information maintained by the EDD is confidential and cannot be published or made available for public 
                                                                           inspection. However, in certain instances, the law requires this information to be shared with other governmental 
If you are unable to resolve a payroll tax problem                         agencies. When these instances occur, the EDD closely follows the law to protect your rights.
with an EDD representative, supervisor, and office 
manager, you may contact the Taxpayer Advocate 
Office for assistance.                                                     Accurate Advice and Assist ance
                                                                           You have the right to call upon the EDD for accurate information, assistance, and to have all your questions 
The Taxpayer Advocate Office will review the                ers            answered. The EDD’s policy is not to penalize employers for failure to comply with the law if it can be proven that 
issues and facts of your case to ensure that your                          they acted on incorrect instructions from the EDD staff.
rights have been protected. The Taxpayer                                    Employment Tax Offices (ETO)    are available to serve you when you need information or assistance.
Advocate Office will also work to facilitate a 
                                                                             Your local ETO is listed in the California Employer’s Guide (DE 44) (PDF) or by visiting the Office Locator
resolution to your problem.                                 y
                                                                             (edd.ca.gov/Office_Locator). You may also call the Taxpayer Assistance Center at 1-888-745-3886.
You may reach the Taxpayer Advocate Office at:                              Answers to most questions relating to employer reporting requirements, Unemployment Insurance
Employment Development Department                                            and State Disability Insurance benefits, California Personal Income Tax, and various programs and
Office of the Taxpayer Rights Advocate, MIC 93                               services administered by the EDD are located in the California Employer’s Guide (DE 44) (PDF).
PO Box 826880                                                                This guide is updated annually and available to all employers. Copies may be ordered by visiting
Sacramento, CA 94280-0001                                                    Online Forms and Publications (edd.ca.gov/Forms/) or by calling 1-888-745-3886.
                                                                            If you are not sure if your workers are employees or independent contractors under the law, you may
Toll-free:  1-866-594-4177
                                                                             request a copy of the EDD’s Employment Determination Guide (DE 38) (PDF) to help you make this
Phone:   1-916-654-8957
                                                                             determination. The EDD is available to provide you with verbal guidance on employee or independent
Fax:     1-916-449-9498
                                                                             contractor issues and with general information sheets on various classes of employment. You can also
Email:   TaxTSDTAO@edd.ca.gov
                                                                             request a written determination by using the Determination of Employment Work Status for Purposes of
                                                                             State of California Employment Taxes and Personal Income Tax Withholding (DE 1870) (PDF). Call the
                                                                             Taxpayer Assistance Center at 1-888-745-3886, visit your nearest ETO, or download the forms by visiting
                                                                             Payroll Taxes – Forms and Publications (edd.ca.gov/Payroll_Taxes/Forms_and_Publications.htm).
The EDD is an equal opportunity employer/program.                           Information regarding seminar dates, times, locations, and subjects is available onPayroll Tax Seminars
Auxiliary aids and services are available upon request to 
individuals with disabilities. Requests for services, aids,                  (edd.ca.gov/Payroll_Tax_Seminars/)  or by calling 1-888-745-3886.
and/or alternate formats need to be made by calling the 
Taxpayer Assistance Center at 1-888-745-3886 (voice), 
or  TTY 1-800-547-9565.                                                    Clear and Accurate Account St atements
                                                                           If you owe taxes, you have the right to receive a clear and accurate account statement. Any adjustments made to 
                                                                           your account will be reflected in the statement. If you have questions or believe the statement contains 
                                                            Emplo          any errors, we encourage you to contact the EDD at the address or phone number provided on the statement.
DE 195 Rev. 16 (4-22) (INTERNET)            Page 1 of 2

- 2 -

Your Right to Request
an Ex tension to File Returns or
Pay Ta xes  An Impar tial Audit
If your business is selected for an audit, the EDD
The California Unemployment Insurance Code provides will attempt to schedule the audit at your convenience. Tax Payment Options
that an extension may be granted for up to 60 days
when good cause is shown for a delay. Employers have a legal obligation to voluntarily report Set tlements Program
Under an extension of You have the right to an impartial audit and a full and pay payroll taxes and withholdings when due.
time to pay, interest must What explanation of the audit findings. California Personal Income Tax and State Disability The EDD’s Settlements Program allows an
be charged at the current Constitutes Insurance are trust fund taxes that are withheld from employer and the EDD to settle a disputed liability,
annual rate and will You have the right to have someone, such as an employees’ wages. You hold these funds in trust for thereby avoiding the risks and costs associated
Good Cause
accrue each day from the Good cause exists where the attorney, enrolled agent, or accountant, present during the EDD. with litigating the disputed employment tax matter.
original delinquent date circumstances causing the the audit or to represent you Call the Settlements Office at 1-916-653-9130
to the date of payment. delay are clearly beyond in your absence. Inst allment Agreement for more information.
the control of the employer
or where the delay is due to Although the California Unemployment Insurance Collec tion Ac tivities
Your Right a mistake or inadvertence Code does not provide for installment agreements, if
to Request under circumstances not immediate and full payment of payroll taxes creates a If you do not pay your payroll taxes, interest, and
a Waiver of reasonably foreseeable by Your Right to an Appeal financial hardship, an installment agreement may be penalties, the EDD may begin to collect the money
the employer. Employers requested. Installment agreements will not be granted you owe using the following collection activities:
must establish that:
Penalt y They acted in good faith When you disagree with an action taken by the in cases where a commercial loan or other means are Filing a Notice of State Tax Lien (DE 2181)
If you are charged and demonstrated history EDD, we encourage you to discuss the issues with available to pay the liability. Contact your local ETO against your real or personal property. Recorded
penalties for a late of timely payment and an EDD representative, supervisor, and office for information on installment plans or to request liens will be released when the tax
payroll tax return or reporting. manager. Information Sheet: Installment Agreement (DE 631P) has been paid in full or if the lien was filed in
payment, you may
They acted in a diligent,
request that the penalties timely, and prudent You may also appeal certain actions to the (PDF). error.
be waived. A waiver of manner. California Unemployment Insurance Appeals When an installment agreement is approved, it is
penalty request will not The circumstances could Board (CUIAB). The CUIAB is a review board important to adhere to the terms of the agreement and Issuing a Notice of Levy (DE 8005) to financial
be considered until the not have been reasonably independent of the EDD. Actions that may be to submit all future returns and payments timely. Failure institutions or other parties.
foreseen.
request on e-Services
employer submits a appealed to the CUIAB are: to meet the terms of the installment agreement may Issuing a warrant to seize and sell business
for Business or in writing that explains why good cause An assessment for payroll taxes including result in involuntary collection actions, including, but
and personal assets. As a matter of policy,
exists and the reason for the untimeliness. Billing will California Personal Income Tax and State not limited to, levies, liens, seizure and sale of assets.
the EDD will not seize or sell the primary
continue while the request is being reviewed. To avoid Disability Insurance withholdings. If, during the course of an approved installment residence of a tax debtor.
accrual of interest and to stop the collection process,
the amount due must be paid. If it is determined that the A denial of a request to transfer an employer’s agreement, it is discovered that you are able to pay
penalty should be waived and the penalty has already Unemployment Insurance (UI) reserve account. the tax in full, the agreement may be canceled. The Issuing an Earnings Withholding Order for Taxes
been paid, a refund will be issued or applied to any agreement may also be canceled if it is discovered (DE 9400). No more than 25 percent of your
outstanding liability. A denial of a protest to an unfavorable that pertinent financial information was withheld. gross wages may be withheld. You have the
right to protest this action if it causes a financial
The request must include a detailed explanation adjustment to an employer’s UI tax rate or the Even if the installment agreement is approved, offsets hardship. A hearing officer will determine if the
showing good cause for the delay and penalties may factors used to compute it. of any state refunds and federal income tax refunds will withholding order should be upheld, modified,
A denial of a protest to the amount of UI benefits
be waived when good cause is shown for a delay in: be enforced during the payment term. Any payments or released. Information concerning your right
Filing and paying your Payroll Tax Deposit charged to an employer’s reserve account. received from these sources will be in addition to the to a hearing is included in your copy of the
(DE 88) or filing your Electronic Funds Transfer. installment payments. withholding order.
Filing and paying your Quarterly Contribution Return A denial of a claim for a credit or refund.
and Report of Wages (DE 9). Of fer in Compromise Filing of criminal charges for certain
Filing your Quarterly Contribution Return and Report A denial of a request to make a voluntary UI In addition to payment plans, an Offer in Compromise violations of the California Unemployment
of Wages (Continuation) (DE 9C). contribution to reduce an employer’s UI tax rate. (OIC) program has been established for accounts Insurance Code.
Filing and paying an adjustment on your Quarterly When the EDD takes an action that may be that are both inactive and out of business. Qualified
Contribution and Wage Adjustment Form (DE 9ADJ) applicants who do not have sufficient funds and
(PDF). appealed, you will be notified by mail. To begin
the appeal process, you must file a petition. The assets to pay the liability within the foreseeable future This brochure is for general information
Filing and paying your Employer of Household may be able to eliminate their payroll tax liability at only and does not have the force or effect
Worker(s) Annual Payroll Tax Return (DE 3HW). notice the EDD mails to you will explain your
petition rights and responsibilities. Please read all less than the full value. Contact the OIC Group at of law, rule, or regulation.
Filing your Employer of Household Worker(s) the EDD notices carefully because strict time limits 1-916-464-2739 for eligibility requirements.
Quarterly Report of Wages and Withholdings
(DE 3BHW). apply for filing appeals.
Page 2 of 2

PDF file checksum: 557928319

(Plugin #1/9.12/13.0)