Fillable Printable Optical Character Recognition On Paper Returns, Payments, And Wage Reports (De 231Ocr)

Optical Character Recognition On Paper Returns, Payments, And Wage Reports (De 231Ocr)

OPTICAL CHARACTER RECOGNITION ON PAPER RETURNS, PAYMENTS,

AND WAGE REPORTS

DE 231OCR Rev. 2 (4-17) (INTERNET) Page 1 of 3 CU

The Employment Development Department (EDD) uses

an Optical Character Recognition (OCR) system to record

information reported by employers on their paper tax

returns, wage reports, and payments. This system allows

the EDD to capture the data reported on paper forms more

accurately and effectively than if it was keyed manually.

The Payroll Tax Deposit, DE 88, Quarterly Contribution

Return and Report of Wages, DE 9, and Quarterly

Contribution Return and Report of Wages (Continuation),

DE 9C, are some of the forms specifically designed for

use with the OCR system. These forms are printed with

target marks and barcodes which are used to identify and

align the forms correctly. Other forms or formats, such as

computer printouts from your payroll or accounting

programs, photocopies, or forms marked “employer’s

copy,” should not be submitted in lieu of the correct

forms. These formats cannot be read by the OCR system

and are not acceptable alternatives for the DE 88, DE 9,

or DE 9C.

Preprinted DE 88, DE 9, and DE 9C forms are provided

without charge. These and other forms and instructions are

available on the EDD website at

www.edd.ca.gov/Payroll_Taxes/Forms_and_Publications.htm

or can be requested by calling the

Taxpayer Assistance

Center at 888-745-3886. The website also includes the

Checklist for Completing the DE 9C, DE 9CCL, and the

California Employer’s Guide, DE 44, which provide

additional guidance for completing your EDD forms.

ALTERNATE FORMS

Forms other than those provided by the EDD must be

tested and approved by the EDD prior to their use. You

can find print specifications, which will assist you in

creating an alternate form that can be imaged by our

equipment, at the EDD website at

www.edd.ca.gov/Payroll_Taxes/Forms_and_Publications.htm.

For further information on print speciﬁcations and

approvals of alternate forms, contact:

Employment Development Department

Alternate Forms, MIC 96

PO Box 826880

Sacramento, CA 94280-0001

916-255-0649

E-FILE AND E-PAY MANDATE FOR EMPLOYERS

(ASSEMBLY BILL 1245)

New state law mandates electronic submission of tax

returns, wage reports, and payroll tax deposits for

all employers.

Pursuant to Sections 1088(h) and 1110(g) of the California

Unemployment Insurance Code (CUIC), employers with

10 or more emplo

yees are required to submit tax returns,

wage reports, and payroll tax deposits electronically

effective January 1, 2017. All remaining employers

are required to ﬁle electronically effective January 1,

2018. Any employer required under existing law to

electronically submit wage reports and/or electronic funds

transfer to the EDD will remain subject to

those requirements.

This mandate contains a waiver provision for employers

who are unable to submit employment tax returns, wage

reports, and payroll tax deposits electronically. For more

information on the e-file and e-pay mandate and

waiver, visit www.edd.ca.gov/EfileMandate.

FILE AND PAY ELECTRONICALLY WITH E-SERVICES FOR

BUSINESS

Employers can use e-Services for Business to submit

employment tax returns, wage reports, and payroll tax

deposits electronically to comply with the e-ﬁle and

e-pay mandate.

e-Services for Business is a fast, easy, and secure way to

manage your employer payroll tax account online

24 hours a day, 7 days a week at no cost. With e-Services

for Business, you can:

• Register for an employer payroll tax account number.

• File tax returns and wage reports.

• Make payroll tax deposits and pay other liabilities.

• View and update account information.

• And more!

Filing electronically increases data accuracy, eliminates

the cost of postage, protects data through encryption,

reduces paper and mailing costs, eliminates lost mail, and

results in faster processing of returns and payments.

For more information about e-Services for Business, to

create an account, and to access e-Services for Business

tutorials, visit

www.edd.ca.gov/e-Services_for_Business,

email us at [email protected], or contact the Taxpayer

Assistance Center toll-free at 855-866-2657.

OTHER ELECTRONIC FILING OPTIONS

Large employers and payroll agents can read more about

other electronic payment and filing options by reviewing

the following publications available on our website at

ww.edd.ca.gov/Payroll_Taxes/Forms_and_Publications.htm

or by calling the Taxpayer Assistance Center toll-free

at 855-866-2657: Federal/State Employment Taxes

Implementation Guide, DE 545, Electronic Filing Guide for

the Quarterly Wage and Withholding Program, DE 8300,

Electronic Funds Transfer Program, DE 27.

CODE SECTIONS THAT ESTABLISH FILING AND

CONTENT REQUIREMENTS FOR EDD RETURNS AND

PAYMENTS

The following CUIC excerpts establish some of the content

requirements for the DE 88, DE 9, and DE 9C. The full text

of the CUIC can be accessed at

http://leginfo.legislature.ca.gov/faces/codes.xhtml.

Section 1088 (a) and (b) of the CUIC

1088 (a) (1) Each employer shall ﬁle with the director

within the time required by subdivision (a) or (d) of

Section 1110 for payment of employer contributions, a

report of contributions, a quarterly return, and a report

of wages paid to his or her workers in the form and

containing any information as the director prescribes.

An electronic funds transfer of contributions pursuant

to subdivision (f) of Section 1110 shall satisfy the

requirement for a report of contributions. The quarterly

return shall include the total amount of wages, employer

contributions required under Sections 976 and 976.6,

worker contributions required under Section 984, the

amounts required to be withheld under Section 13020, or

withheld under Section 13028, and any other information

as the director shall prescribe. The report of wages shall

include individual amounts required to be withheld under

Section 13020 or withheld under Section 13028.

(2) (A) In order to enhance efforts to reduce tax fraud

and to reduce the personal income tax reporting burden,

effective January 1, 1997, the report of wages shall

also include the full ﬁrst name of the employee and

total wages, as deﬁned in Section 13009, paid to each

employee. This paragraph shall apply to reports of wages

for all periods ending on or before December 31, 1999.

(B) For all periods beginning on or after January 1, 2000,

the report of wages shall also include total wages subject

to personal income tax, as deﬁned in Section 13009.5,

paid to each employee.

(b) Each employer shall ﬁle with the director within the

time required by subdivision (b) or (d) of Section 1110 for

payment of worker contributions, a report of contributions

containing the employer’s business name, address, and

account number, the total amount of worker contributions

due, and any other information as the director shall

prescribe. The director shall prescribe the form for the

report of contributions. An electronic funds transfer of

contributions pursuant to subdivision (f) of Section 1110

shall satisfy the requirement for a report of contributions.

Section 1110 of the CUIC

(f) Contributions due pursuant to this section may be

submitted by electronic funds transfer. Contributions

submitted by electronic funds transfer shall be deemed

complete in accordance with paragraph (4) of subdivision

(e) of Section 13021.

(g) (1) Notwithstanding subdivision (f), effective on and

after January 1, 2017, an employer with 10 or more

employees shall remit the contributions and withholdings

by electronic funds transfer.

(2) Notwithstanding subdivision (f), effective on and

after January 1, 2018, all employers shall remit the

contributions and withholdings by electronic funds

transfer.

Section 1112.1 of the CUIC

(a) An employer who is required to ﬁle a quarterly return

electronically pursuant to Section 1088 and without good

cause fails to ﬁle a quarterly return electronically shall

pay a penalty of ﬁfty dollars ($50), in addition to any other

penalties imposed by this code.

(b) Notwithstanding subdivision (a), on and after January 1,

2017, and before January 1, 2019, an employer required

to ﬁle a quarterly return electronically who ﬁles a

quarterly return within the time required by means that are

not electronic shall not be subject to the penalty described

in subdivision (a).

Section 1112.5 of the CUIC

(a) Any employer who without good cause fails to ﬁle the

return and reports required by subdivision (a) of

Section 1088 and subdivision (a) of Section 13021 within

60 days of the time required under subdivision (a)

of Section 1110 shall pay a penalty of 15 percent of

the amount of contributions and personal income tax

withholding required by this report. This penalty shall be

in addition to the penalties required by Sections 1112

and 1126.

(b) For purposes of subdivision (a), the amount of

contributions and personal income tax required by the

report of contributions shall be reduced by the amount

of any contributions and personal income tax paid on or

before the prescribed payment dates.

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This information sheet is provided as a public service, and is intended to provide non-technical assistance. Every attempt

has been made to provide information that is consistent with the appropriate statutes, rules and administrative and court

decisions. Any information that is inconsistent with the law, regulations, and administrative and court decisions is not

binding on either the Employment Development Department or the taxpayer. Any information provided is not intended to

be legal, accounting, tax, investment or other professional advice.

Section 1114 (a) of the CUIC

(a) Any employer who, without good cause, fails to ﬁle

within 15 days after service by the director of notice

pursuant to Section 1206 of speciﬁc written demand

therefore, a report of wages of each of his or her workers

required by this division, shall pay in addition to other

amounts required, for each unreported wage item a

penalty of $20 ($10 for periods prior to 3rd quarter 2014).

(b) Any employer required by this division to ﬁle a report

of wages of each of his or her workers on magnetic media

or other electronic means as prescribed by subdivision (e)

or (h) of Section 1088, who, without good cause, instead

ﬁles a report of wages by means other than electronic,

shall pay, in addition to other amounts required, for each

wage item a penalty of twenty dollars ($20).

2017, and before January 1, 2019, an employer required

to ﬁle a report of wages, excluding employers previously

required to ﬁle a report of wages under subdivision (e) of

Section 1088, who ﬁles a report of wages within the time

required by means that are not electronic shall not be

subject to the penalty described in subdivision (b).

ADDITIONAL INFORMATION

If you need additional information or need assistance with

EDD forms, please visit the EDD website at

www.edd.ca.gov or call the Taxpayer Assistance Center at

888-745-3886.

The EDD is an equal opportunity employer/program.

Auxiliary aids and services are available upon request to

individuals with disabilities. Requests for services, aids,

and/or alternate formats need to be made by calling

888-745-3886 (voice) or TTY 800-547-9565.

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