Overview

This article explains the action to take if your CA Form DE 9/9C filing was rejected by the Employment Development Department (EDD).

Expected Outcome

You'll understand why your filing was rejected, and the actions required to submit a corrected filing.

Assumptions

You're a CA employer who has received a rejection of your Form DE-9/9C filing from the EDD.

Details

Effective 1/1/2011, the CA Employment Development Department (EDD) replaced quarterly Form DE 6 and annual Form DE 7 with quarterly Forms DE 9 and 9C (which are combined into a single filing). Reconciliation of wages and taxes is now done quarterly instead of annually. The EDD applied stricter acceptance criteria to the DE 9/9C filings that had previously been applied to the DE 6 and DE 7 filings. As a result, there has been an increase in the number of rejected CA filings.

Most of these rejections are due to discrepancies in SUI or SDI taxable wages. For example, you may have marked your company or specific employees as exempt from SUI or SDI, whereas the EDD has your company or employees as subject to those taxes. The rejections can also be due to rounding discrepancies. The rejection notice will usually contain a cryptic message or error code that can be difficult to interpret.

Please contact Payroll Support for assistance if you've had a rejected Form DE 9/9C filing. We'll review the rejection notice and determine the reason it was sent. We'll identify any updates that need to be made to your payroll account, and give you information for re-filing the form.