What Type of Documentation Will I Need in My EDD Audit?

What Type of Documentation Will I Need in my EDD audit? So an EDD audit is looking at your federal income tax returns it's obviously looking at your payroll tax records both federal and state and they're looking for consistencies and all of that information the next thing they're gonna look at is they're going to look at your internal accounting they're going to look at your general ledger in particular to look at the payments that were made to any workers and look at the payments that were made to officers and then lastly they're gonna look at your 1099 and who the independent contractors are and any evidence to support whether or not they're independent contractors or they're actually employees the EDD is going to request all this information from you and they're going to put it in their initial document request what the EDD will also do is they'll also gather information from third-party sources they'll gather from its own computer and then they'll also gather information from the internet so you need to be very careful going through that you're streamlining the information that you're giving to the EDA and you're organizing it and presenting it in a way that makes the most sense and that cuts down on your liability.

avatar

Sam Brotman, JD, LLM, MBA

Owner and Director of Legal
Brotman Law

COMMENTS