Businesses that go through EDD audits sometimes don’t understand the process. Where am I? What are my rights? What can I do if I don’t agree with the bill? A quick overview of the EDD processes is you generally start by receiving a pre-audit questionnaire and an inquiry of records notice. Now these notices, I’ll be honest with you, I think are really hard to understand. When you receive an IRS notice, it’s crystal clear. You are being audited and here is everything you need to know. It’s all on the first page, and it’s very clear what’s going to happen. Sometimes the EDD audit notice is a little bit unclear. Sometimes you open it up and get stuck on a pile. Maybe somebody who doesn’t have the responsibility at the company opens up the mail, and it is just set on somebody’s desk. So understanding the inquiry of records and pre-audit questionnaire is starting the train.