In our new ABCast Podcast Episode 10 - California Tax Reporting and Controversy Janathan Allen discusses 3 of the primary California tax agencies: Franchise Tax Board (FTB), the Employment Development Department (EDD) and the California Department of Tax and Fee Administration (CDTFA). In this overview of California taxation, Episode 10 -...
ABCast Episode 8 – Employee Misclassification and EDD Audits
We are pleased to release our latest podcast, ABCast Episode 8 - Employee Misclassification and EDD Audits. Jan and Neil discuss the impact of the Supreme Court decision in Dynamex and the resulting issues associated with independent contractors, 1099 workers and the new "A-B-C Test" established by the Court's decision....
California EDD Audits San Diego Employers Every 3 Years
Did you know the California EDD audits San Diego employers every 3 years? If you have employees, there will be a California EDD payroll tax audit of your San Diego Business every 3 years. They will review all of your employees, and all of your employment records as well as...
Beware of California EDD Attempts to Reclassify 1099 Workers
You need to beware of California EDD attempts to reclassify 1099 workers as “employees” in San Diego. The EDD recently announced a new strategy to pursue audits to re-classify independent contractors as employees, thereby creating a payroll tax obligation for California businesses. Your exposure also extends to bast benefits and...
The IRS FTB and EDD are Targeting 1099 Worker Misclassification
If you are a San Diego employer with any 1099 workers take heed. The federal government including the US Department of Labor (DOL) and the IRS, as well as California's Employment Development Department (EDD) and Franchise Tax Board (FTB) are targeting 1099 worker misclassification for audit. There are many roads...
The Two Types of Income Tax Audits in California
There are two types of income tax audits in California - those originated by the State of California, and those based upon another agency's audit such as the IRS. This second form of audit, often referred to as a "Piggy-Back Audit" is one of the most hazardous and unexpected challenges...
Tax Attorney for a California Business Tax Audit
Why do you need a tax attorney for a California business tax audit? What are your genuine risk for an audit of your business or professional practice? If you are in business in San Diego or conduct business in-state you will eventually need a proven, experienced tax attorney for a...
Change Your Business Model to Avoid Independent Contractor Misclassification
Should you consider A new business model to avoid independent contractor misclassification and associated penalties and financial consequences? The rising number of California Employment Development Department or EDD misclassification audits is skyrocketing. The first thing many EDD auditors are asking is simple: "Do you have any 1099 workers?" If the answer...
California EDD is Actively Targeting Independent Contractor Misclassification
The California EDD is actively targeting independent contractor misclassification and seeking substantial tax revenue from San Diego and California employers. While the federal agencies may have seemed to relax based upon administration policies, the California agencies are making this a primary focus. If you have 1099 workers or independent contractors...