San Francisco EDD Collections Lawyer Ready To Help You
The California Employment Development Division (EDD) is responsible for calculating and collecting payroll taxes from businesses in California. As part of these duties, the EDD conducts audits and investigations, even instituting collection actions against companies they feel have not paid what they owe.
When you receive a collection notice, it can seem like a formidable amount of debt. You may ask yourself how you can pay the outstanding taxes. Or you can question whether you even owe the back taxes.
Calling on the knowledge and insight of a San Francisco EDD collections lawyer is a vital step in addressing an EDD collections action. The debt and EDD won’t go away on their own unless you take steps to pay the taxes.
Allison Soares is a lawyer who has helped businesses and individuals facing EDD collections actions. She understands what’s at stake and what it takes to resolve a collection action. She will thoroughly investigate the claim against you and guide you through your legal options.
What Happens If I Owe Taxes to the California EDD?
If you owe taxes to the California EDD, it’s important to pay or make an approved plan to pay them early in the process. Save any notices that you receive in the mail from the EDD and take action to address the tax debt shortly after receiving the mail.
How to Respond to an EDD Collections Notice
If you owe payroll taxes to the EDD, here’s what your options typically are:
- Agree with the EDD about the amount owed. If you agree with the amount the EDD says you owe, you can pay upfront or in installments.
- Disagree with the EDD about the amount owed. If you disagree with EDD’s calculation of the outstanding payroll taxes, you can attempt to challenge their calculation.
- Submit an Offer of Compromise to pay off only some of the payroll tax debt. If you can’t pay the outstanding taxes and your business has closed or is closing down, you may be able to negotiate with the EDD and pay a reduced amount.
In very limited circumstances, other relief options may be available to you.
If you’re facing collections, don’t go it alone. A San Francisco EDD collections attorney can help you navigate and, if possible, challenge the debt. Allison understands how difficult and scary facing an EDD collections action can be, especially if you’re trying to go it alone. She is here to help you, as she has helped numerous people in your position. Due to Allison’s unwavering commitment to her clients, businesses have saved millions in taxes and debt collections.
Can the EDD Force You to Pay Outstanding Taxes?
If you don’t pay the debt or enter into an approved EDD plan to repay the debt, serious consequences can follow. These include a lien, levy, or garnishment.
A lien is a public record of your debt, notifying current and potential creditors that the government has a claim against you. A levy goes one step further and allows the government to seize and sell your assets to pay off the debt. Finally, a garnishment forcibly takes money out of a source of income (wages or tax refunds, e.g.) to pay off your debt.
If the government uses these methods to coerce or force you to pay off the debt, it can cause legal and financial headaches.
One of the biggest mistakes you can make is ignoring the collection notice. The debt won’t go away on its own, and the EDD won’t change its mind on its own. Because of this, you need to take good-faith action to start paying or addressing the debt.
Allison Soares is an exceptional EDD collections lawyer. She understands the hardship and stress that come with receiving collections notices from California’s payroll tax agency. Her extensive financial and accounting background equips her to understand even the most complex payroll tax situations. She can guide you through the EDD collections process and vigorously investigate the claim against you. She can help you prepare to challenge or submit a plan to repay the tax debt.
How Long Is the EDD Collections Statute of Limitations?
The statute of limitations for unpaid payroll taxes typically spans three to eight years. But if the EDD thinks the taxpayer committed fraud or intended to evade tax payments, there may be no time limit on when they can seek to collect on the debt.
There are also restrictions on the method the EDD can use to collect the debt and when. For example, the EDD can record a lien when it determines that you have outstanding payroll tax obligations. The EDD can record the Notice of Lien within ten years of the debt being owed and renew it every ten years until you pay the debt in full.
One of the tasks of an EDD collections lawyer is to determine the applicable statute of limitations. If they discover that the statute of limitations has passed, they may challenge the debt because the EDD is no longer able to collect on it.
Involving a San Francisco EDD collections attorney is essential to protecting your legal rights and ensuring that you comply with your reporting obligations. Any delay or misstep can result in doors being closed to you or penalties being imposed.
Allison Soares, Attorney at Law—The San Francisco EDD Collections Lawyer You Need on Your Side
If you’re facing a collections action, contact a San Francisco EDD collections attorney at Allison Soares, Attorney at Law to get yourself on the right track. She also handles clients with other types of cases, including:
- EDD Audit,
- EDD Appeals, and
- CDTFA Audit.
Hundreds of clients have trusted Allison to help get them back on their feet. She’s successfully helped businesses and individuals in collections actions involving the EDD and other taxing agencies. Allison is a leader in her field, regularly speaking, publishing, and teaching in the area of tax law. She teaches Tax Prосеdurеѕ, Practice and Ethics at the Chаrlеѕ W. Lаmdеn School оf Aссоuntаnсу at San Diego State University, a position she’s held for eight years.