The California Employment Development Department (EDD) has announced that beginning with the first quarter of 2011, employers will file new quarterly personal income tax withholding and payroll tax forms. The new forms are the Quarterly Contribution Return and Report of Wages (DE 9) and the Quarterly Contribution Return and Report of Wages (Continuation) (DE 9C).
Employers will file the DE 9 quarterly to report their personal income tax withholding, unemployment insurance, employment training tax, and state disability insurance contributions instead of reporting these items annually on the Annual Reconciliation Statement (DE 7). Detailed wage items for each worker will be reported on the DE 9C instead of the Quarterly Wage and Withholding Report (DE 6). Employers will still use the DE 6 and DE 7 for years prior to 2011.
This quarterly reporting change does not affect annual household employers, disability insurance voluntary plan filers, or disability insurance elective coverage filers. The change also does not affect deposit and return due dates. Employers will continue to make deposits using the Payroll Tax Deposit (DE 88ALL) form.
Registered employers will receive the new forms automatically by mail starting in 2011. The new forms will also be available online and at local EDD offices in December 2010.
Beginning in the spring of 2011, EDD will significantly expand its e-services for business, allowing employers to view account information, file reports, and pay deposits and liabilities. (Important Payroll Tax Changes for 2011, California Employment Development Department, August 23, 2010.)