What is the ABC test?

Under AB5, a worker is presumed an employee unless the hiring business proves all three prongs of the ABC test. We build the documentation that supports a contractor classification under that standard.

Can you represent me directly before the EDD?

Yes. AJ Singh's Treasury-authorized Enrolled Agent credential grants rights of representation, so we correspond with the auditor, attend on your behalf, and file the petition for reassessment when needed.

How far back can an EDD audit go?

A typical audit covers the prior three years, and longer where returns were not filed. Early representation limits how far it expands.

What does it cost me if the audit goes against me?

Reassessed payroll taxes plus penalties and interest, often across every misclassified worker for every quarter in scope. That is why the classification defense matters from the very first notice.

California EDD Audit Defense

EDD Audit Defense

A notice from the California Employment Development Department is not a bill you simply pay. It opens a payroll-tax and worker-classification audit that can reach back years and multiply through penalties and interest. G&S Accountancy stands between you and the EDD. AJ Singh holds a Treasury-authorized Enrolled Agent credential and represents California employers through the full audit, from the first inquiry to the petition for reassessment, so you never face the auditor alone.

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OUR Service

What an EDD Audit Puts at Risk

EDD examinations concentrate on how you classify and pay your workers. We defend each of these fronts with documentation, reconstruction, and the right of representation.

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Worker Classification & AB5

Independent-contractor versus employee misclassification is the single most aggressively audited area in California. We defend your classifications under the AB5 ABC test with contracts, workflow evidence, and legal precedent.

Payroll Tax Assessments (UI, ETT, SDI, PIT)

The EDD assesses unpaid Unemployment Insurance, Employment Training Tax, State Disability Insurance, and Personal Income Tax withholding. We reconstruct the record and challenge overstated assessments line by line.

1099 vs. W-2 Reclassification

When the EDD moves to reclassify contractors as employees, the back-tax exposure is large. We document the working relationship and contest reclassification before it becomes a multi-year liability.

Penalty & Interest Abatement

Worker-information and failure-to-file penalties stack quickly. We pursue reductions, reasonable-cause relief, and settlement where the facts support it.

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FAQ

EDD Audit Questions California Employers Ask

Straightforward answers to the questions we hear most often.

Common triggers include a worker filing for unemployment after being paid on a 1099, heavy use of independent contractors, or a verification audit the EDD runs at random. Any of them can open a full payroll examination.

Get Started

Received an EDD notice? Talk to a Treasury-authorized defender today.

The strongest EDD defenses are built before the first auditor meeting. Send us the notice and we will tell you where you stand.

Schedule a Call (909) 217-7855

More on EDD audits and worker classification

Our team writes about the classification rules and EDD procedures behind these audits.