Beginning January 1, 2017, Assembly Bill 1254 stipulates that all employers in California will be required to electronically submit employment tax returns, wage reports, and payroll tax deposits to the Employment Development Department (EDD). To benefit employers, this law was enacted to increase data accuracy, increase data security, and reduce overhead costs.
To allow employers ample time to prepare, the new law will be phased-in over a two-year period based on the number of employees:
January 1, 2017 - Employers with 10 or more employees
January 1, 2018 - All employers
e-Services for Business is a fast, easy, and secure way to help you meet this requirement and manage your employer payroll tax account online. Visit www.edd.ca,gov/e-Services_for_Business to create an accounty today.
For more information about the e-file and e-pay mandate, please visit www.edd.ca.gov/EfileMandate.
Your local SBDC can help! Contact them today.