California payroll tax audits and employer obligations.
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The Employment Development Department audits employers for UI, SDI, ETT, and worker classification. It is separate from the IRS and can reach back several years.
Read article →Examiners verify wages were reported correctly, contributions paid, and workers classified properly. Officer compensation and cash wages are common issues.
Read article →Consistent quarterly filing, timely deposits, written contractor agreements, and clean payroll registers make EDD audits manageable.
Read article →A clean IRS year does not mean EDD will not audit—and vice versa. Compare what each agency cares about and how to prepare for both.
Read article →