Do I Need to Register my Business With the California Employment Development Department?
“The Employment Development Department (EDD) administers California’s payroll taxes, including Unemployment Insurance, Employment Training Tax, State Disability Insurance (including Paid Family Leave), and California Personal Income Tax withholding. Employers conducting business in California are required to register with and file reports and pay taxes to EDD.” If You Have People Working for You, California Tax Service Center, ca.gov.
If you are an employer (defined as “a person or legal entity who hires one or more persons to work for a wage or salary. Employers include sole proprietors, partnerships (including co-ownerships), corporations, S corporations, limited liability companies, limited liability partnerships, nonprofit organizations, associations, trusts, public entities, and state and federal agencies.” Id.), and are doing business in the State of California, whether as a sole proprietorship or corporation, then you are required to register with the EDD.
To register with the EDD, the employer must visit the EDD’s Employer Services Onlinewebsite and enroll. If the enrolling entity is a corporation, the employer should ensure they have the following information available:
- · The name and social security numbers of all responsible parties
- · The corporation’s physical and mailing addresses
- · The corporation’s business telephone number
- · A valid e-mail address for the corporation’s contact person
- · The date on which the corporation’s first payroll exceeds $100.00
- · The corporation’s 9-digit Federal Employer Identification Number
- · A description of the industry in which the corporation is engaged
- · The exact name of the corporation as recorded with the California Secretary of State
- · The corporation’s California Corporation Identification Number
To understand the laws, rules and regulations which will enable you to make informed decisions about your company, and how best to do business in California, you need the services of an attorney uniquely qualified to give you that advice. Michael Leonard, Esq. of San Diego Corporate Law, named “Best of the Bar” for 2016 by the San Diego Business Journal, is that attorney. To schedule a consultation with Mr. Leonard to discuss any business-related matter, you can contact him by visiting San Diego Corporate Law or by telephone at (858) 483‑9200.